Have ever invested in a company based on growing revenue, but it went down the tube?
If, yes, then revenue is “poor”, rather than “rich” (quoting from Robert Kiyosaki “Poor Dad Rich Dad”). To pick the right investment or the “revenue rich” company, try answering these questions: -
A. Are trade receivables growing faster than revenue; B. Is your company paying a ridiculous price tag to enhance rather than profits? C. Did the firm’s net margin improve after the acquisition? D. Is the business making consistent “negative” free cash flow, despite seeing revenue growth?
If the answer is yes, then it warrants further investigations. For more information, check it out: http://ift.tt/2rsVr7b
P.S. Some of you know how to research a business to avoid investing in “Enron-like” companies. The above is for those who seek information.
Submitted May 22, 2017 at 06:53AM by Walter7793 http://ift.tt/2q8PZCz
