What Three Years of a Cash Flow Statement Reveals That One Year Hides
Profit is an opinion, cash is a fact, and one year of cash flow is a snapshot. It takes three years for the snapshot to become a story.
Read Full AnalysisComparing Two Companies on ROE, and Why the Higher One Is Not Always Better
Return on equity is one number, but it is built from three. Until you split it apart, a high ROE and a fragile ROE look exactly the same.
Read MoreWhat a High P/E Actually Implies, and When It Is a Trap
A high P/E is not a verdict of "expensive." It is a sentence the market is speaking about the future, and learning to read that sentence is where valuation actually begins.
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Promoter Holding
Promoter holding is the percentage of a company's shares owned by its founders or controlling group. Read with institutional holdings, its trend is an early warning of trouble long before it shows in the accounts.
Read MoreNet Debt to EBITDA
Net debt to EBITDA tells you how many years of operating cash profit it would take to repay all borrowings, net of cash on hand. It is the leverage measure lenders and rating agencies actually use.
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