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Providing Earnings Guidance? Think Again

Harvard Business Review

By helping to fill this analytical void, CFOs can make it more likely that the market will develop expectations that are grounded in reality. Less Volatility in Stock Price: The net effect of providing guidance is arguably a less volatile stock price, which can result in a lower beta and a lower cost of capital. FD) constraints.

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The Comprehensive Business Case for Sustainability

Harvard Business Review

McKinsey reports that the value at stake from sustainability concerns can be as a high as 70% of earnings before interest, taxes, depreciation, and amortization. Managing risks therefore requires making investment decisions today for longer-term capacity building and developing adaptive strategies. In 2005, they launched a U.S.

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Finally, Proof That Managing for the Long Term Pays Off

Harvard Business Review

It started with developing a proprietary Corporate Horizon Index. The data for this index was drawn from 615 nonfinance companies that had reported continuous results from 2001 to 2015 and whose market capitalization in that period had exceeded $5 billion in at least one year. Earnings quality: Accruals as a share of revenue.