TSR
Business & Finance abbreviation · Finance
| Stands for | Total shareholder return |
|---|---|
| Categories | Business & Finance |
TSR stands for Total shareholder return, a finance abbreviation.
Combined return to shareholders over a period from share price change plus dividends, assuming dividends are reinvested, expressed as a percentage. Companies compare their TSR with peer groups and indices to judge performance.
Example: Over five years, the company delivered TSR of 88 percent, ranking in the top quartile of its peer group.
Usage notes
Relative TSR is one of the most common metrics in executive long-term incentive plans, and US public companies must report TSR in the pay-versus-performance table under SEC rules adopted in 2022. Because TSR depends on market moves, critics argue it rewards executives for factors beyond their control.
Related abbreviations
More finance abbreviations
- S&T – Sales and trading
- SAFE – Simple agreement for future equity
- SOTP – Sum of the parts
- SPA – Share purchase agreement
- SPV – Special purpose vehicle
- TLB – Term loan B
- TTM – Trailing twelve months
- TVM – Time value of money
- TVPI – Total value to paid-in capital
- VC – Venture capital
- WACC – Weighted average cost of capital
- WC – Working capital