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The Zacks Analyst Blog Highlights Verizon, Suncor Energy, Canadian Natural Resources and VALE

In This Article:

For Immediate Release

Chicago, IL – March 19, 2025 – Zacks.com announces the list of stocks and ETFs featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Verizon Communications VZ, Suncor Energy SU, Canadian Natural Resources Ltd. CNQ and VALE VALE.

Here are highlights from Tuesday’s Analyst Blog:

4 Stocks with Impressive Shareholder Yield to Safeguard Your Portfolio

In the world of investing, shareholders seek the best returns while managing risk. One key metric that has gained traction among savvy investors is shareholder yield— a comprehensive measure that considers dividends, share buybacks and debt reduction. Unlike traditional dividend yield, shareholder yield provides a more holistic view of how a company returns value to investors.

Investors seeking sustainable returns should consider shareholder yield as a key factor in their stock selection. Companies that effectively distribute excess cash through dividends, buybacks and debt reduction often deliver strong financial performance and long-term value. By focusing on firms like Verizon Communications, Suncor Energy, Canadian Natural Resources Ltd. and VALE, which boast high shareholder yield, investors can identify opportunities that not only provide income but also enhance overall portfolio returns.

Shareholder yield is calculated as the sum of dividend yield, net buyback yield and net debt paydown yield. Dividend yield represents the percentage of a company's share price paid out as dividends. Net buyback yield reflects the rate at which a company repurchases shares, reducing the overall share count. Net debt paydown yield indicates how much of a company's cash flow is dedicated to reducing debt, thereby strengthening its balance sheet. By considering these three components, shareholder yield offers a fuller picture of how a company allocates capital to benefit investors.

Investors looking to incorporate shareholder yield into their investment strategies should analyze how consistently a company returns value to shareholders. A balanced approach that includes dividends, buybacks and debt reduction can indicate financial health and a commitment to long-term growth. Companies that aggressively buy back shares while maintaining dividend payouts and reducing debt often create sustainable value for investors.

Additionally, industries with strong cash flow generation, such as technology, financial services and consumer goods, often exhibit high shareholder yields.