Sentences with phrase «shareholder returns because»

Not exact matches

Now share buybacks aren't necessarily a bad thing, and in fact are Warren Buffett's preferred method for returning cash to shareholders — as opposed to dividends — because they give management more flexibility.
Just because a company succeeded in making the Fortune 500 does not mean it rewarded its shareholders — in fact, every year, at least a handful of corporations fail miserably in the stock returns department.
He says that's not just because it is the right thing to do from an environmental perspective, but because, as always, he's focused on getting the biggest return for his shareholders.
«And his motivations are suspect because he is motivated by good business profits, good shareholder returns, and regulation - free marketing and sales practices.
We think this combination provides a uniquely well - screened list of long ideas because return on invested capital (ROIC) is the primary driver of shareholder value creation.
They can not grow much because they're returning so much to shareholders.
Because of a consistent focus on our clients» needs and orienting our businesses to meet their ongoing objectives, we believe we have provided solid returns in a challenging period, while seeking to protect our ability to provide significant upside to our shareholders as the economic cycle turns.
So the next time a customer asks, «but doesn't Ken Fisher say he hates annuities» you can answer «no — not really because in Ken's case he is motivated by good — good business profits, good shareholder returns, and regulation - free marketing and sales practices.»
We know that Warren Buffett's Berkshire Hathaway hasn't paid a dividend in more than 30 years because Buffett feels that the return on capital that he generates by retaining those earnings will create eventual share price appreciation value for the shareholder that will exceed the share price / dividend capital appreciation that his shareholders would receive.
I emphasized issues like valuations and peak - to - peak returns in the semi-annual report, because the period of unusual overvaluation since 2000 might otherwise leave shareholders with an inaccurate understanding of «characteristic» performance for the Strategic Growth Fund.
ASX - listed Treasury Wine Estates, the owner of Penfolds and Wolf Blass, has been a winner for shareholders in the past two years with its share price more than doubling because of booming exports to Asia and rising returns from the United States.
«Fonterra can comfortably pursue both [higher milk prices and shareholder returns] because its milk price is rules - based and subject to oversight by a panel chaired by an independent director of Fonterra [and with a majority of its members being independent] coupled with oversight by NZ's competition regulator through a very public process,» he said.
Healthcare costs are escalating because private insurance companies are beholden by profit and are driven by shareholders expecting returns, she said.
In 2005, the Spitzer campaign returned $ 24,000 in campaign donations from Gabelli because they learned his company was the target of an SEC probe after complaints that shareholder money wasn't being properly handled and that Gabelli was taking too much for himself in compensation.
But that's because all they care about is short - term shareholder return, not long - term customer retention.
A business pays dividends because the business is making so much money that the business can afford to make investments to grow the business and STILL have money left over to return to the shareholders of the company.
And because of that, those funds don't give shareholders the full returns they should receive for the level of risk they are taking.
We've been following AVGN (see earlier posts here and here) because it's a net cash stock (i.e. it's trading at less than the value of its cash after deducting all liabilities) and it has a specialist biotechnology activist fund Biotechnology Value Fund (BVF) pushing it to liquidate and return its cash to shareholders.
We've been following AVGN (see earlier posts here, here, here, here, here and here) because it's a net cash stock (i.e. it's trading at less than the value of its cash after deducting all liabilities) and specialist biotechnology activist fund BVF has been pushing it to liquidate and return its cash to shareholders.
We've been following AVGN (see earlier posts here, here and here) because it's a net cash stock (i.e. it's trading at less than the value of its cash after deducting all liabilities) and it has a specialist biotechnology activist fund Biotechnology Value Fund (BVF) pushing it to liquidate and return its cash to shareholders.
However, growth stocks also carry a lot of risk because shareholders rely solely on the company's success to generate return on their investment.
If a stock has a low yield I want to know if it's because the stock is overpriced or if and why the company is not returning enough to shareholders.
However, growth at low returns on capital can be destructive to shareholder value, because the capital could best be deployed elsewhere.
They argued that whether or not a company pays dividends should not matter to shareholders, because it does not affect their overall returns.
Because they trade on an exchange, NextShares may offer cost and tax efficiencies that can enhance shareholder returns.
While EdgePoint will be an interesting fund company to watch, not least because of the pedigree of its founders and the promise to focus on investment returns rather than shareholder returns, it is not the focus of this post.
I chose the company partly because I knew it had a long history of returning value to shareholders.
NextShares are an innovative way to invest in actively managed strategies, which, because they trade on an exchange, may offer cost and tax efficiencies that may enhance shareholder returns.
I have been looking at various Chinese small caps, but in most cases I'm thinking that I simply like DSWL more because it's profitable, the balance sheet is rock solid and the company has a long history of returning cash to shareholders.
If you're invested in stocks, low interest rates typically boost the stock market because cheap capital allows companies to boost their bottom lines, which in turn boosts shareholder returns.
For example, People's United Financial currently pays a 4.4 % dividend yield, but offers shareholders a total return of almost 15 % because of buybacks.
We opened our position because AVGN was a net cash stock (i.e. it's trading at less than the value of its cash after deducting all liabilities), albeit a cash burning net cash stock, and BVF was pushing it to liquidate and return its cash to shareholders.
Because the shares of First Cash Financial Services were significantly undervalued at the beginning of the timeframe measured, long - term shareholder annual returns of over 30 % have exceeded the company's 20 % earnings growth rate.
With an expected annualized return on equity of 6 % a discount of 50 % seems suitable, because basically just half of the value generated by the business goes towards shareholders and with an expected annualized return on equity of 9 % a discount of 33 % is warranted.
That happens because the assets are not really worth what we think they are worth, or because the value doesn't get returned to shareholders and management misallocates resources at low or negative rates of return.
One minute he is misguidedly complaining about the high non-cash depletion charges associated with his iron ore royalty (remember that from a few quarters ago???), the next he is rescinding a promise to return capital back to shareholders (the intended amount started high, went higher, then went to nothing, presumably because of the Pea Ridge investment).
Agreed, it's a tricky situation, but the preferreds still offer strong enough risk - adjusted rates of return that are acceptable to me for a smallish position.I'm watching management carefully because I'm not sure they are acting in the best interests of shareholders.
Unfortunately, as things stand, it's unlikely this operating progress / potential can deliver a decent return on equity for shareholders in the foreseeable future — because any likely return will end up swamped in a sea of equity!
This is because Warren believes he can generate higher returns (in intrinsic value and in turn eventual share price) through investing in the purchase of new businesses, rather than the returns to shareholders through payment of a dividend.
It is a really useful measure of financial performance — that tells a better story than net income — because it shows what money the company has leftover to expand the business or return to shareholders, after paying dividends, buying back stock or paying off debt.
We've been following AVGN (see archived posts here) because it's a net cash stock (i.e. it's trading at less than the value of its cash after deducting all liabilities) and specialist biotechnology investor Biotechnology Value Fund (BVF) has been pushing it to liquidate and return its cash to shareholders.
The common shareholder stands last in line to be paid, and because of this additional risk the shareholder demands a higher expected return than does the bondholder.
If the corporation is an «S Corporation» the benefit will also be taxed as a distribution; however, because the S corp is a pass through entity, earnings are reported on the shareholder's personal tax returns and thus the benefits are realized as after tax income.
For instance, if the shareholder sells its shares, the ETF just transfers them to the buyer, while the CEF has to create a capital in this case, because it have to sell the shares in order to return money back to the seller.
Because management's compounding value here: Tetragon's return on equity was 9 % last year & it's averaged 12.4 % pa since its 2007 IPO, it has a progressive dividend policy, it's launched serial tender offers, and overall it's returned a cumulative $ 1.2 billion (in dividends & share repurchases) to shareholders (since the IPO).
We've been following AVGN (see archived posts here) because it's a net cash stock (i.e. it's trading at less than the value of its cash after deducting all liabilities) and specialist biotechnology investor BVF has been pushing it to liquidate and return its cash to shareholders.
We've been following AVGN (see archived posts here) because it's a net cash stock (i.e. it's trading at less than the value of its cash after deducting all liabilities) and specialist biotechnology activist fund BVF has been pushing it to liquidate and return its cash to shareholders.
When a company is made up mostly of cash, it doesn't cost anything to liquidate the business because all a company has to do is return the cash to the shareholders.
We know that Warren Buffett's Berkshire Hathaway hasn't paid a dividend in more than 30 years because Buffett feels that the return on capital that he generates by retaining those earnings will create eventual share price appreciation value for the shareholder that will exceed the share price / dividend capital appreciation that his shareholders would receive.
As soon as you're leaving companies to decide whether they should offer to pay more tax, or enable voluntary disclosures, it might go down well with the public, but again we're back at the catch - 22: what happens when the institutional shareholders demand a particular return or dividend, they're not going to be happy when the Director turns around and says «well we can't do that because we voluntarily paid more tax this year».
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