Growth & Momentum
Bottom Line Growth / Share (3Y/5Y/10Y)
Turns operating funds tied in receivables, stock and payables into a read on efficiency and liquidity consumption. It shows whether growth is being converted into cash or trapped in the operating cycle.
Bottom Line Growth / Share (3Y/5Y/10Y)
bottomLineNetIncomeGrowthPerShareMultiYear · Growth & Momentum
Variants: 3Y / 5Y / 10Y
- Definition
- Turns operating funds tied in receivables, stock and payables into a read on efficiency and liquidity consumption. It shows whether growth is being converted into cash or trapped in the operating cycle.
- Calculation
- CAGR of the per-share metric over the selected time window.
- Uses
- Useful for detecting acceleration, deterioration and persistence. It works best in businesses with recurring or secular demand; it is weaker in cyclicals, commodities, banks, insurers and turnarounds. Cross-check with margins, ROIC, FCF per share, debt and dilution.
