dividend

noun

div·​i·​dend ˈdi-və-ˌdend 

-dənd

1

: an individual share of something distributed: such as

a

: a share in a pro rata distribution (as of profits) to stockholders

Profits are distributed to shareholders as dividends.

b

: a share of surplus allocated to a policyholder in a participating insurance policy

2

a

: a resultant return or reward

our efforts are finally paying dividends

b

: bonus

3

a

mathematics : a number to be divided

b

: a sum or fund to be divided and distributed

dividendless

ˈdi-və-ˌdend-ləs 

-dənd-

adjective

Synonyms

• bonus
• gift
• pension
• contribution

Examples of dividend in a Sentence

Profits are distributed to shareholders as dividends.

the reward money was an unexpected dividend for our good deed

Recent Examples on the Web

But American science, including space science, has paid enormous dividends in keeping the nation strong, prosperous, and worthy of the world’s respect. —Adam Frank, The Atlantic, 4 July 2025

In general, dividend amounts are not always predictable and tend to follow the ups and downs of profitability at each company. —Dividend Channel, Forbes.com, 3 July 2025

That echoed our commentary yesterday after Club names Goldman and Wells Fargo announced big dividend hikes. —Jim Cramer, CNBC, 3 July 2025

Two years after being founded, Grammy-winning country superstar Lainey Wilson's Heart Like A Truck Charitable Fund is yielding impressive dividends for Music City's creative professional community. —Marcus K. Dowling, The Tennessean, 2 July 2025

Word History

Etymology

Middle English divident, from Latin dividendus, gerundive of dividere — see divide entry 1

First Known Use

15th century, in the meaning defined at sense 1

Phrases Containing dividend

• peace dividend
• stock dividend

Rhymes for dividend

• apprehend
• comprehend
• condescend
• recommend
• resuspend
• amend
• append
• ascend
• attend
• backend
• befriend
• boyfriend

Kids Definition

dividend

noun

div·​i·​dend ˈdiv-ə-ˌdend 

-əd-ənd

1

: a sum to be divided and given out

2

: bonus

3

: a number to be divided by another

Legal Definition

dividend

noun

div·​i·​dend ˈdi-və-ˌdend 

1

: the part of corporate net earnings distributed usually periodically (as quarterly) to stockholders in the form of cash, additional shares, or property either as a set amount per share or a percentage of par value

— constructive dividend

: a benefit (as unreasonable compensation or use of corporate property) or transfer of funds from a corporation to a shareholder that is interpreted by a taxing authority as a dividend

— cumulative dividend

: a dividend distributed to preferred stockholders that is added to and paid with the next payment or future payments if not paid when due

— extraordinary dividend

: a dividend declared in addition to a regular dividend because of unanticipated profits or a nonrecurring increase of revenue

2

: a share of the surplus earnings of a mutual insurance company paid to policyholders either in the form of cash disbursements or through reduction of premiums

3

: a payment disbursed to investors from the income of a mutual fund