Total Shareholder Return (TSR)

What is Total Shareholder Return (TSR)?

Total shareholder return (TSR) is a measure of the total return received by shareholders of a company over a given period of time. It takes into account both the appreciation in the value of the company's stock, as well as any dividends or other distributions paid to shareholders.

TSR is typically expressed as a percentage and is calculated by taking the change in the value of the company's stock over a given period of time, plus any dividends or distributions paid to shareholders, and dividing the result by the initial value of the stock. For example, if a company's stock increased in value by 10% over a one-year period, and the company also paid dividends of 5% over the same period, the TSR for the year would be 15%.

TSR is an important measure of a company's performance, as it reflects both the financial performance of the company and the returns generated for shareholders. It is often used by investors to compare the performance of different companies or to assess the overall performance of a company over time.

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