..which is designed to be a more complete picture of how a Company uses its cash flow and allocates it capital. This can encompasses dividends, capital expenditure, share buy backs and debt pay down if applicable. Some such as Meb Faber in his book Shareholder Yield suggested that in the US this is a better way of identifying stocks than just focussing on yield, given the extent of buy backs undertaken in the US. You can also read an interview with him and a research paper by Wes Gray and Jack Vogel, the authors of Quantitative value, tilted Enhancing the Investment Performance of Yield-Based Strategies.
I have mentioned in the past that I had not found a way to screen for this in the UK, but I'm not too concerned by that as I use cash flow as part of my analysis any way and share buy backs are not so prevalent in the UK. However, I have been trying out a newish investment screener called Quant Investing which is good at introducing newish concepts such as this to its screening menus.
Thus I got around recently to trying this and did a screen for the top 20% UK stocks on their Shareholder yield measure.
I must admit I found the resulting list of names to be a bit of mixed bag and a bit strange to be honest so I'm remain a bit sceptical about the value of this measure in the UK. If it of interest I attach the list of names below.