Dividend Yield – shows how much dividend a company paid out in a year. It is expressed as a percentage of the current market price which gives you a sense of how much returns (in percentage) you have earned from your investment.
Formula of Dividend Yield: Annual dividend per share / Current share price
Dividend Payout – shows how much dividend has the company paid out from its net income. When a company earns profits, it either re-invests it back into the business or gives out dividends. Hence, it is the percentage of profits or earnings that it paid out as dividends. This is just another way to define the same concept.
Formula of Dividend Payout: Annual dividend per share / Net Income