Wouldn’t the ROE be better? Many US-listed companies are losing money. How can they calculate the return on equity (ROE) without positive earnings? However, most listed companies must have revenue and can calculate the gross margin.
Category: Investor Homework
The rebirth and fall of 4 major technology stocks in 10 years
Rebirth and fall of 4 technology stocks, Ten years ago, in early November 2011, Microsoft’s market capitalization was about $124.7 billion, and Intel was about $127 billion; the two were almost on par. However, as of November 4, 2021, Microsoft is 2.53 trillion US dollars, Intel is about 204.1 billion US dollars; Microsoft’s market value has caught up with Apple’s market value at the end of October, 12 times that of Intel!
How does IBM make money? What’s next?
The predecessor of IBM was ITR, which was founded in 1906. Later, the two companies merged and CTR (Computing Tabulating Recording) was established in 1911.
Why is TSMC’s profit margin much greater than competitors?
Why is TSMC’s profit margin much greater than competitors?
Pros and cons of investing in Coca-Cola
Only 20 years ago, peers PepsiCo’s were much smaller than Coca-Cola, but now Pepsi’s annual revenue is much larger than Coca-Cola’s, and its revenue in 2021 is only 48.64% of PepsiCo’s, less than half. Coca-Cola began to diversify its products fifty or sixty years ago, but now it has proved a complete failure.
ROE, the most important management indicator
The Return On Equity (ROE) algorithm is “net profit after tax/shareholder equity × 100%”, which is one of the few financial figures that can be used to measure the operational performance of a company’s leadership team. It represents the efficiency of the company’s profit for shareholders, and it can also be said to measure the company’s overall capital utilization efficiency. Therefore, the higher the value, the better.
Successful investors must persist to the end
Investors must persist to the end. Most of the investors who can make a lot of money, and finally succeed, none of them rely on luck. Investors who rely on luck cannot be successful investors who make big money.
Adobe, a company with no strong competitors in its main business for a long time
Adobe, a company with no strong competitors in its main business for a long time
Walking helps thinking, get you recharged and refeshed
Walking helps thinking. Earlier I mentioned that investment is actually a boring, tedious, long-term, lonely, basic research that needs to be repeated. Time, patience, and discipline are the three major elements of successful investment.
How does Costco make money?
How does Costco make money? Is it a good company?