Expanding the Opportunity Set with Shareholder Yield

By Justin J. Carbonneau (@jjcarbonneau) —  When most investors hear the word “yield” they immediately think about dividends. Things like stock buybacks and debt paydown typically don’t come to mind. But those are also yields, or ways companies can return cash to shareholders. When dividends, buybacks and debt paydown are combined, they give us something called shareholder yield. Calculating and sorting stocks by shareholder yield is a systematic way to identify companies that are returning… Read More

Faber talks Strategies, Value in Emerging Markets and More

Mebane Faber, co-founder and CIO of Cambria Investments and Cambria Funds talks with Tom Keene and Barry Ritholtz about quantitative stock selection strategies and investment trends in today’s market. According to Faber, so far in 2016 the market is seeing a rebound in some of the assets that exhibit the most value around the world. In addition, dividend paying stocks, which have performed very well over the past few years as investors seek income, look… Read More

OSAM: Shareholder Yield Surpasses Dividend Yield

While paltry fixed-income yields have had investors on the prowl for high-dividend stocks, James O’Shaughnessy’s firm says they should be looking in another place for yield. “Though dividend yield works very well internationally, investors in U.S. stocks should instead focus on shareholder yield, a factor we have long advocated that has provided considerably stronger returns for U.S. stocks for more than 80 years,” writes Patrick O’Shaughnessy on O’Shaughnessy Asset Management’s web site. Shareholder yield is… Read More