Pay attention to the return on invested capital from "summary" of Buffettology by Mary Buffett,David Clark
The return on invested capital is a concept that is crucial to understand when evaluating the performance of a company. Essentially, return on invested capital measures how efficiently a company is able to generate profits from the capital it has invested in the business. This metric is important because it provides insight into the company's ability to generate returns for its shareholders. A high return on invested capital indicates that a company is able to generate significant profits from the capita...Similar Posts
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