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
• cumshaw
• donative
• extra
• gratuity
• gravy
• gravy train
• lagniappe
• perk
• perquisite
• throw-in
• tip

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

Associated British Foods Plc raised its outlook and interim dividend as shoppers head to budget fashion chain Primark and inflationary pressures in the food division ease. —Jennifer Creery, Fortune Europe, 23 Apr. 2024

The sleep pays a longevity dividend — the tortoises can live for 50 to 80 years. —Summer Lin, Los Angeles Times, 20 Apr. 2024

The company last month announced a 10% increase to its quarterly common dividend, bringing it to $1.15 per share. —Rocio Fabbro, Quartz, 16 Apr. 2024

And the only way to make money off physical gold is to sell, whereas stocks can offer dividends. —Byalicia Adamczyk, Fortune, 12 Apr. 2024

Also at the meeting, YG Entertainment’s shareholders approved a dividend of 300 won (23 cents) per share that will pay out a total of 5.56 billion won ($4.2 million). —Glenn Peoples, Billboard, 2 Apr. 2024

But that’s not all—Shell has also paid significant dividends to its shareholders, who’ll miss out if the company shifts to America. —Byprarthana Prakash, Fortune Europe, 9 Apr. 2024

That mindset paid immediate dividends against New Mexico. —Kirk Kenney, San Diego Union-Tribune, 5 Apr. 2024

Imagine nabbing a double-digit-yielding fund that not only doesn’t lose money or cut payouts, but actually grows them and pays special dividends along the way. —Michael Foster, Forbes, 29 Mar. 2024

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

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