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Dividends and Number of shares owned

Personal Finance & Money Asked on April 7, 2021

For stocks in companies that pay dividends, is this just for holding any share, or is the dividend paid per share? For example, a dividend of $10: is that $10 for holding 200 shares of stock or $10 per share of stock?

One Answer

Take your question "is that $10 for holding 200 shares of stock " to its logical conclusion.

In that scenario, someone who owned 2 million shares of stock in the company would get the same dividend as someone who owns a single share of stock. In that light, you see that it can't be true.

Thus, the correct answer is "$10 per share of stock".

Correct answer by RonJohn on April 7, 2021

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