A high quality business should be able to grow earnings either through revenue growth (price or volume) or margin improvement (cost reduction) or a combination of all of these.
EPS CAGR
Measures the compound annual growth rate (CAGR) of earnings per share.
Related articles
Jake Summers, Assistant Research Analyst at JM Finn, gives an overview of finance's hidden drivers.
William McCubbin, Assistant Research Analyst at JM Finn, gives an overview of finance's hidden drivers.
Henry Birt, Research Analyst at JM Finn, gives an overview of accrual and cash accounting.
If you like this article, follow us for more insights.
To receive more content like this subscribe today.