A dividend is when the company shares part of its profit with you just for owning the shares, kind of like…by @oom_frik_explains on $TBS

A dividend is when the company shares part of its profit with you just for owning the shares, kind of like a thank you payment. Tiger Brands has paid them before when things went well, so if you owned 1000 shares and they paid 10 cents per share, you'd get R100 in your bank account without selling anything.