Payout ratio


 

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Payout ratio

The proportion of earnings paid out in dividends to shareholders, that is, dividend payment divided by earnings.



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Feasible target payout ratios

Feasible target payout ratios

Payout ratios that are consistent with the level of excess funds available to make cash dividend payments.


Customary payout ratios

Customary payout ratios

A range of payout ratios that is typical according to an analysis of comparable firms.


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Payout period

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The time period during which withdrawals from a retirement account or annuity are paid.


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Percentage of earnings paid out as dividends.




 
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