Classic investor frameworks · Screening and validation
O’Shaughnessy · Shareholder yield
Combines cash dividends and net buybacks to measure cash returned to continuing shareholders.
- Guide level
- Practical
- Output
- Screening and validation
Core formula
Shareholder yield = dividend yield + net buyback yieldHow to interpret it
Combines cash dividends and net buybacks to measure cash returned to continuing shareholders.
The output should be read as a scenario or decision aid, not as a guaranteed price target. Compare it with at least one method based on different economic assumptions.
Practical workflow
- Normalize the latest public financial and operating data.
- Choose assumptions that match the company's economics and accounting structure.
- Calculate conservative, base and optimistic cases where the method permits.
- Compare the result with market pricing and an independent valuation method.
- Document the assumptions that drive the largest changes in value.
Key limitation
Debt-funded buybacks, stock compensation and poorly timed repurchases can make the headline yield misleading.
How Stockinsky uses it
Stockinsky uses this framework only when the company type and available data support it. Professional valuations expose assumptions, sources and warnings instead of presenting false precision.