Analyzing Returns on Invested Capital for Business Success
thank you, ROIC is king ... ROIC > WACC and there you go ;)
GPA > ROIIC ≥ ROIC > ROA > WACC > 2×GDP
https://substack.com/@atc3/note/c-104730734?r=5g11d4
ROIC is a key metric for sure! I really like to look at incremental ROIC not to fall in the trap of companies that look like they earn good returns but are just not investing anymore.
Great piece! We’re glad to see others highlighting ROIC.
One of our favorites, OTC Markets Group, has a five year average ROIC of 58.23%. Stellar business model.
https://open.substack.com/pub/specialsituationinvesting/p/otc-markets-group-b1f?r=1jcr0j&utm_campaign=post&utm_medium=web
thank you, ROIC is king ... ROIC > WACC and there you go ;)
GPA > ROIIC ≥ ROIC > ROA > WACC > 2×GDP
https://substack.com/@atc3/note/c-104730734?r=5g11d4
ROIC is a key metric for sure! I really like to look at incremental ROIC not to fall in the trap of companies that look like they earn good returns but are just not investing anymore.
Great piece! We’re glad to see others highlighting ROIC.
One of our favorites, OTC Markets Group, has a five year average ROIC of 58.23%. Stellar business model.
https://open.substack.com/pub/specialsituationinvesting/p/otc-markets-group-b1f?r=1jcr0j&utm_campaign=post&utm_medium=web