The Motley Fool

APRIL 28, 2024

The second number shareholders must pay attention to is monetization, as measured by average revenue per user (ARPU). Maybe another advertising channel is seeing a better return on investment. CEO Mark Zuckerberg specifically called out the strength of WhatsApp in the U.S. That's a good sign. This figure came in at $11.20

Shareholders 189

Shareholders Prospects Return On Investment Returns 189

The Motley Fool

FEBRUARY 20, 2024

That bodes well for shareholders because the company authorized share repurchases amounting to $700 million. Through this technology, users can run ads when and where they can potentially deliver a higher return on investment. Should you invest $1,000 in The Trade Desk right now?

Investors 245

Investors Shareholders Returns Return On Investment 245

The Motley Fool

NOVEMBER 27, 2023

ITW Return on Invested Capital data by YCharts. The company has prudently acquired companies over the years (more than two dozen acquisitions), steadily increasing its return on invested capital (ROIC). TTM = trailing 12 months. Strong management sets the company apart from many of its peers.

Conglomerates 246

Conglomerates Earnings Before Interest Amortization Depreciation 246

The Motley Fool

MAY 12, 2024

If you're a current shareholder or are looking to buy shares, you'll want to consider the following first. This affects short-term earnings, as the rising costs squeeze profits and require a higher return on investment to make acquisitions worthwhile.

Debt 245

Debt Leveraging Prospects Portfolios 245

The Motley Fool

JANUARY 3, 2024

If you're already a shareholder, you can confidently hold onto the stock. NVO PE Ratio (Forward) data by YCharts Beyond valuation, Novo Nordisk generates a much higher return on invested capital (ROIC) than Eli Lilly. Analysts are bullish too. Consensus estimates currently call for earnings growth averaging over 21% annually.

Shareholders 246

Shareholders Capital Returns Return On Investment 246

The Motley Fool

FEBRUARY 5, 2024

Management has stated that the licensing model gives store operators more freedom to innovate (regional beverages, for example) and generates a higher return on investment. Starbucks showers shareholders with cash The company generates billions of dollars in free cash flow each year. It first began repurchasing shares in 2005.

Shareholders 130

Shareholders Returns Return On Investment Accounting 130

The Motley Fool

JULY 2, 2023

A stellar return on invested capital Leveraging the power of its leadership position in the pool supplies and pool-related products market, Pool Corp. Best yet for investors, Pool's strong profitability also allows it to reward shareholders through rising dividends in addition to this intriguing growth optionality.

Shareholders 239

Shareholders Leveraging Return On Investment Debt 239

The Motley Fool

APRIL 23, 2024

Similarly, Nvidia has endured the extreme ebbs and flows of the semiconductor industry because it is an ultra-high-margin business that manages expenses well and consistently earns a return on invested capital. Often, it's the industry-leading companies that can continue to outperform the market and reward their shareholders.

Debt 242

Debt Capital Shareholders Portfolios 242

The Motley Fool

AUGUST 26, 2023

These businesses are set to deliver handsome rewards to their shareholders as the economy grows stronger. With the variable component set at up to 50% of its excess free cash flow, Devon's cash returns to shareholders could surge if oil prices rise. per share). Image source: Devon Energy.

Shareholders 242

Shareholders Return On Investment Returns Stock Market 242

The Motley Fool

JUNE 23, 2023

Airlines aren't productive (at least for shareholders) The ultimate test of whether a company is allocating capital productively for shareholders is the comparison between its return on invested capita l (ROIC) and its weighted average cost of capital (WACC). Here's the lowdown on a fascinating industry.

Investors 217

Investors Investing Shareholders Capital 217

The Motley Fool

FEBRUARY 6, 2024

In fact, dividends have accounted for a whopping two-thirds of the market's total returns since 1900. Among dividend stocks, those that consistently raise their payouts to shareholders have also proven to be superior performers, relative to most other asset classes, over the long term. Image source: Getty Images.

Shareholders 130

Shareholders Assets Capital Returns 130

The Motley Fool

MAY 9, 2024

First, it ranks as one of the largest property and casualty insurers in the world, meaning it consistently collects substantial capital (in the form of premiums) that can be invested into stocks and bonds. Second, CEO Warren Buffett has demonstrated his ability to earn excellent returns on invested capital.

Portfolios 246

Portfolios Investing Capital Shareholders 246

The Motley Fool

SEPTEMBER 14, 2023

But he has also created substantial wealth for Berkshire Hathaway shareholders. Here's why I'd split a $1,000 investment evenly across Amazon and Visa without hesitation. Amazon fits the bill three times over as it has a strong competitive position in three large markets, and its investments across all three have paid off handsomely.

Financial Services 246

Financial Services Shareholders Consultants Consulting 246

The Motley Fool

FEBRUARY 5, 2024

Top-tier profitability Recording a return on invested capital (ROIC) of 13%, Diageo and its Jack Daniels-making peer, Brown-Forman , are the only spirits-focused companies that consistently generate value for shareholders when putting their debt and equity to use.

Mergers and Acquisitions 244

Mergers and Acquisitions Return On Investment Portfolios Capital 244

The Motley Fool

JANUARY 15, 2024

O'Reilly's best-in-class profitability O'Reilly boasts an incredible 71% return on invested capital (ROIC) , the second-highest among its peers in the Nasdaq-100. ORLY Shares Outstanding data by YCharts Consistently buying back shares in this manner can provide explosive returns to shareholders.

Initial Public Offering 130

Initial Public Offering Shareholders Return On Investment Capital 130

The Motley Fool

SEPTEMBER 9, 2023

Best-in-class profitability Home to over 100 brands sold in 80 countries, Hershey has a proven track record of generating healthy returns on invested capital as it expanded across the United States in its younger years and globally more recently. return for the S&P 500 as a whole, equally weighted. compared to a 7.7%

Return On Investment 246

Return On Investment Capital Debt Shareholders 246

The Motley Fool

JULY 28, 2023

Home Depot excels at returning capital to shareholders Home Depot has long had a restrained growth strategy, choosing instead to optimize profitable growth and return remaining capital to shareholders.

Shareholders 244

Shareholders Stock Market Stock Market Capital 244

The Motley Fool

FEBRUARY 7, 2024

So, to examine this, investors can look at what each company is generating as a return on invested capital (ROIC). LOW Return on Invested Capital data by YCharts A high ROIC is excellent, but what a company pays for its capital, called the weighted average cost of capital, or WAAC , is just as important.

Earnings Before Interest 130

Earnings Before Interest Amortization Depreciation Debt 130

The Motley Fool

FEBRUARY 23, 2024

Apple's large customer base provides it with enormous profits that the company can invest in developing new products, such as its recently launched Vision Pro "spacial computing" headset, not to mention AI-powered features to make its products better and keep customers on a continuous upgrade path.

Portfolios 242

Portfolios Shareholders Return On Investment Returns 242

The Motley Fool

JANUARY 16, 2024

While its near-term results may fluctuate, long-term shareholders should take solace in management's ability to survive and thrive. It generates plenty of free cash flow (FCF) , which it uses to reward shareholders. Management has a proven ability to generate strong returns for shareholders. billion, and it spent $12.8

Shareholders 130

Shareholders Returns Return On Investment Capital 130

The Motley Fool

NOVEMBER 12, 2023

That massive global sales base protects shareholders from a regional downturn, and P&G's focus on essentials means that demand won't collapse even during a sharp recession. Its finances are impeccable, with industry-leading profit margin, cash flow, and return on invested capital.

Shareholders 186

Shareholders Financing Finance Return On Investment 186

The Motley Fool

MARCH 3, 2024

Repurchases offer "a simple way for investors to own an ever-expanding portion of exceptional businesses," Buffett wrote in his 2020 shareholder letter as he referred to the Apple holding. Why would Buffett, who generally doesn't focus on tech stocks, invest in a tech giant like Apple? Today, Berkshire owns about 5.8% of the company.

Portfolios 130

Portfolios Investing Shareholders Stakes 130

The Motley Fool

APRIL 21, 2024

SRAD Profit Margin data by YCharts With management laser-focused on buying sports rights with a clear path to an outsize return on investment, the company has finally reached a tipping point in achieving self-sufficiency. This budding FCF generation also gave management the confidence to initiate a new $200 million stock buyback plan.

Initial Public Offering 246

Initial Public Offering Capital Public Companies Shareholders 246

The Motley Fool

MARCH 2, 2024

Despite this negligible effect on shareholders, stock splits increase liquidity on the exchanges while making shares more affordable for employees and outside investors. This moat can be somewhat quantified by viewing Old Dominion's high and rising return on invested capital (ROIC). ODFL Shares Outstanding data by YCharts.

Shareholders 130

Shareholders Return On Investment Capital Accounting 130

The Motley Fool

DECEMBER 23, 2023

Best-in-class profitability and incredible returns However, this leadership position means nothing if it doesn't lead to profits and free cash flow (FCF). With a return on invested capital (ROIC) of 28% and an expected $1 billion in FCF in 2023, Bombardier is also a leader on the profitability side of things.

Return On Investment 245

Return On Investment Capital Returns Debt 245

The Motley Fool

JANUARY 27, 2024

Return on invested capital also has been on the rise over the past year. AMZN Return on Invested Capital data by YCharts These moves should benefit the company in better times, too. Should you invest $1,000 in Amazon right now? In the quarter, half of Mac and iPad buyers were new to those products.

Debt 241

Debt Return On Investment Capital Shareholders 241

The Motley Fool

MAY 12, 2024

There could be some volatility in the short term, but over the long haul, each has the potential to reward shareholders. This move to streaming allows advertisements to be more targeted to the specific person watching, providing a higher return on investment for the advertiser.

Shareholders 130

Shareholders Return On Investment Returns Investors 130

The Motley Fool

DECEMBER 22, 2023

Fortunately, it looks like Alibaba has a clear plan to unlock shareholder value. Delivering almost zero value to shareholders Alibaba was at its peak when it came public in 2014. Firstly, it will enhance the return on invested capital of its operating businesses, raising it from single to double digits.

Shareholders 246

Shareholders Prospects Assets Capital 246

The Motley Fool

NOVEMBER 28, 2023

The same algorithms, retrained and let loose on business data, can help predict customer preferences, calculate product demand, and allocate scarce resources to get the greatest return on investment. In a recent shareholder letter, management said that demand for its AI platform is "unlike anything we have seen in the past 20 years."

Companies 246

Companies Shareholders Private Companies Accounting 246

The Motley Fool

JANUARY 14, 2024

The company generated double-digit-percentage returns on invested capital (ROIC) and solid cash flow per unit even during the financial crisis of 2007 and 2008 and the COVID-19 pandemic period. Although the energy sector can experience significant volatility, Enterprise Products Partners has been a textbook example of resiliency.

Shareholders 246

Shareholders Returns Return On Investment Capital 246

The Motley Fool

JANUARY 5, 2024

Steady profits and history of returning it all to shareholders Making the investment case all the more alluring for Omega Flex is its stellar return on invested capital (ROIC) of 30%. On top of this outsize profitability, management has a strong track record of returning excess profits to shareholders.

Initial Public Offering 130

Initial Public Offering Shareholders Debt Returns 130

The Motley Fool

NOVEMBER 24, 2023

The company's return on invested capital (ROIC), an important metric that measures operational efficiency, has been over 10% for nearly two decades. That's not a misleading accounting ratio, either -- Emerson's free cash flow was more than $1 billion higher than its cash distributions to shareholders last year. With only $7.6

Debt 234

Debt Shareholders Portfolios Prospects 234

The Motley Fool

DECEMBER 26, 2023

Palantir shareholders might also remember in 2021 when CEO Alex Karp forecasted a 30% revenue growth rate in the 2022-2024 time frame. Foundry helps businesses make better decisions and solve problems, and Forrester estimated Foundry delivers a 315% return on investment (ROI) for its users.

Initial Public Offering 246

Initial Public Offering Legal Leveraging Prospects 246

The Motley Fool

DECEMBER 23, 2023

The good news for shareholders of Enterprise Products Partners is that it's resilient in good times and bad times. Since 2005, the company has never delivered a return on invested capital of less than 10% -- not even during the 2008-2009 financial crisis or the COVID-19 pandemic. No one knows for sure what 2024 will bring.

Banks 245

Banks Prospects Assets Shareholders 245

The Motley Fool

DECEMBER 24, 2023

To be exempt from paying federal taxes, BDCs must return at least 90% of their income to shareholders in the form of dividends. Ares Capital has generated a lot of earnings to return in this manner: Its dividend yield currently tops 9.8%. Can Ares Capital sustain its dividend at such an ultra-high level?

Capital 239

Capital Business Development Companies Taxes Shareholders 239

The Motley Fool

MARCH 3, 2024

shareholders, and in this investor's eyes, it was his best in years. Aside from the fitting tribute to longtime partner Charlie Munger, who passed away late last year at age 99, Buffett expounded on Berkshire's investments in a way he hadn't in many years. For a guaranteed return on a large amount of capital deployed.

Liabilities 246

Liabilities Conglomerates Depreciation Capital 246

The Motley Fool

MARCH 29, 2024

UiPath's management shake-up last summer paid off handsomely, and in a new era of artificial intelligence (AI), the company's RPA platform looks like it is poised to keep delivering the goods to shareholders. Here's what investors need to know. A new era of growth and profitability In the wake of the U.S.

Shareholders 187

Shareholders Return On Investment Returns Accounting 187