The Dividend Yield is a measure of the relationship between a stock’s dividend payout and its stock price. Dividend yield is calculated by dividing the annual dividend per share by the stock's price per share. It is also calculated as a firm’s total annual dividend payments divided by its market capitalization. Investors use dividend yield as a measure to compare the relative attractiveness stocks to aid in investment decision making. The dividend yield of a firm’s stock changes constantly in response to changes in the price of the stock. When the price of a stock is increasing, the yield will drop significantly unless the management of the firm raises its dividend payout to maintain its dividend yield else the stock becomes relatively unattractive compared with other stocks.