Dividend yeild is less than saving's account interest, so why to invest?

why do investors invest in companies as dividend paid is too low and rest of profit is retained, so when will he gets his remaining dividend(retained earnings) ?

It may seem very low yield at first because dividend yield calculated based on CMP. So as time passes dividend usually increases(PAT increment) so your dividend yield. One day it might come that your dividend = your purchased share price.

1 Like