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Indicated Annual Dividend Distribution

Updated on March 6, 2023

An ‘Indicated Annual Dividend’ distribution or ‘Indicated dividend’ or IAD distribution is the amount of cash dividends which are estimated to be distributed during the next 12 months, on the basis of dividends which have been paid in the past. The figure of projected future dividends is an estimated figure based on the company’s past dividend record. Investors and analysts generally make predictions for companies which have a record of consistently distributing dividends by multiplying the payment frequency with the most recent dividend.
For example, for quarterly payouts, IAD will be:
IAD = latest quqrterly Dividend Amount x 4