Analyzing a Stock by Its Dividend and Shareholder Yield

This week’s AAII Weekly Digest highlights these “must-read” AAII articles: High Buyback Yields James O’Shaughnessy, in the fourth edition of his book “What Works on Wall Street” found that stocks with the highest buyback yield (top 10%) outperformed the overall stock universe by an average of 3.2 percentage points a year from the start of 1927…

 

Valuing Stocks Based on Their Dividend

The subject of valuing stocks by their dividend is discussed in the June AAII Journal, which was posted to our website yesterday. Specifically, Computerized Investing editor Jaclyn McClellan takes an in-depth look at Geraldine Weiss’ approach. I’m going to extend the conversation by discussing Weiss’ and other dividend valuation strategies. Weiss used a relative valuation…