Remove Cost of Capital Remove Depreciation Remove EPS Remove Marketing
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We Can’t Study Short-Termism Without the Right Metrics

Harvard Business Review

If a company has beat or missed its EPS targets by less than two cents , that means the company has nipped and tucked its quarterly results just enough to meet the target EPS number it committed to analysts. What if concentrated market power of a few companies in an industry has made these companies more profitable than usual?

EPS 8
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Finally, Proof That Managing for the Long Term Pays Off

Harvard Business Review

Among the firms we identified as focused on the long term, average revenue and earnings growth were 47% and 36% higher, respectively, by 2014, and market capitalization grew faster as well. public market capitalization over this period. These indicators and hypotheses were: Investment: The ratio of capex to depreciation.