other companies because of its wisdom of choosing the best suitable stock for its trade. In the past three years, their share price has increased up to 47%.
Benjamin Graham used the metaphor of a voting machine and a weighing machine for the market, the short term being the voting and long term is the weighing. He says that perceiving the situation and making use of it is what a wise person would do.
The EPS (earning per share) has been dropping annually for the company in the last 3 years. The business can not move forward with this kind of decline in the share price. Therefore other solutions need to be found for that matter.
The shareholders expect a brighter future ahead of them since the progress of the company can be seen. So the company believes that they can afford to sacrifice the small things in the present for the long term benefit and success.
In accordance with the dividend, the share price returns change. The share price return and the shareholder return, both should be considered in association with any stock. The TSR a generous dividend means that the TSR will be a lot higher than the usual amount. The company Yongsheng has had a TSR of 62% for the past years. That’s the reason it has exceeded the share price. So the dividends make a huge difference in the share price returns.
On the other hand, it can be taken in the notice that Yongsheng Company has had to bear many losses but the fundamental development of the company matters more. Some stocks have to be oversold and that’s how the stock trading business works but there are long term benefits and profits that have to be foreseen when making decisions.