That is, a low P / E gets a low percentile ranking while a high
Shareholder Yield gets a low percentile ranking.
Not exact matches
If it just keeps paying out all of its earnings,
shareholders will
get a return equal to the earnings
yield (inverse of the PE) of 6 % plus inflation, or a decent total of around 8 %.
Metro
gets a percentage of sales from every location, so it generates a lot of free cash flow, which it then returns to
shareholders in the form of 1.53 %
yield and share buybacks.
It is unlikely, but possible to
get a death spiral here, if more and more
shareholders leave the pool and the
yield sags to zero.