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Total Shareholder Return
Encyclopedia
Total Shareholder Return (TSR) is a concept used to compare the performance of different companies’ stocks
and shares over time. It combines share price appreciation and dividends paid to show the total return to the shareholder
. The absolute size of the TSR will vary with stock market
s, but the relative position reflects the market perception of overall performance relative to a reference group.
With
= share price at beginning of period,
= share price at end of period,
Dividends = dividends paid and
TSR = Total Shareholder Return, TSR is computed as
Stocks
Stocks are devices used in the medieval and colonial American times as a form of physical punishment involving public humiliation. The stocks partially immobilized its victims and they were often exposed in a public place such as the site of a market to the scorn of those who passed by...
and shares over time. It combines share price appreciation and dividends paid to show the total return to the shareholder
Shareholder
A shareholder or stockholder is an individual or institution that legally owns one or more shares of stock in a public or private corporation. Shareholders own the stock, but not the corporation itself ....
. The absolute size of the TSR will vary with stock market
Stock market
A stock market or equity market is a public entity for the trading of company stock and derivatives at an agreed price; these are securities listed on a stock exchange as well as those only traded privately.The size of the world stock market was estimated at about $36.6 trillion...
s, but the relative position reflects the market perception of overall performance relative to a reference group.
With
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Dividends = dividends paid and
TSR = Total Shareholder Return, TSR is computed as
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