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).

Investors 217

Investors Shareholders Investing Capital 217

The Motley Fool

SEPTEMBER 26, 2023

Since the oil and gas crash of 2014 and 2015, free cash flow (FCF) has been the name of the game across the energy sector. By focusing on FCF, an investor can stress-test an oil and gas company to see if it is just bringing in cash when times are good or if it can also earn positive FCF even when oil and gas prices are relatively low.

Assets 246

Assets Capital Investors Return On Investment 246

The Motley Fool

JANUARY 14, 2024

That marked a 3,571% gain from its debut price of $14 per share on April 15, 2014 -- but it now trades at about $200. Therefore, a $1,000 investment in the online payroll services provider's IPO would have briefly grown to over $39,000 before shrinking back to about $14,000. Paycom 's (NYSE: PAYC) stock soared to a record high of $550.61

Enterprise Values 147

Enterprise Values Amortization Depreciation Taxes 147

The Motley Fool

APRIL 30, 2024

But there's another pretty safe investment that could pay you double that amount. But despite the better return on investment (ROI) offered by another investment type, there are times when you should stick with opening a CD. Earning 5.00% on your money without taking a chance of loss is a good deal. Here's why.

Investing 130

Investing Accounting Funds Return On Investment 130

The Motley Fool

FEBRUARY 6, 2024

Since 2014, the drugmaker has boosted its annual dividend distribution at a compound annual growth rate of 13.9%. This ensures that the company will continue to generate high returns on invested capital and free cash flow for years to come. What makes AbbVie a standout dividend growth?

Shareholders 130

Shareholders Assets Capital Returns 130

The Motley Fool

JUNE 8, 2024

With a 34% return on invested capital (ROIC) , Home Depot generates outsize profitability compared to its debt and equity. HD Return on Invested Capital data by YCharts Historically, high-and-rising ROICs such as this have led to outperforming stocks. while only using 57% of its net income to fund these payments.

Resale 130

Resale Shareholders Capital Return On Investment 130

The Motley Fool

JANUARY 20, 2024

Enterprise generates strong returns in good and bad markets So Enterprise has a reliable business model. The MLP recently provided a long-term chart of its return on invested capital (ROIC). It measures the financial returns a company achieves based on the investments it makes in a given year.

Returns 130

Returns Assets Prospects Portfolios 130

The Motley Fool

SEPTEMBER 25, 2023

Enterprise has delivered an average return on invested capital ( ROIC ) of 12% over the last 10 years. Its ROIC remained at 10% or higher even during the financial crisis in 2007 and 2008, the oil price collapse of 2014 through 2017, and the COVID-19 pandemic that began in 2020. What's not to like?

Leveraging 130

Leveraging Prospects Assets Return On Investment 130

The Motley Fool

AUGUST 8, 2024

Its store count has grown from 1,783 in 2014 to 2,941 as of Q2 2024. return on invested capital , which underlines how efficiently Chipotle deploys capital to create value. Each one that opens adds incremental cash flow and earnings. The company's share count has decreased by almost 12% during that time.

Enterprise Values 130

Enterprise Values Capital Returns Return On Investment 130

The Motley Fool

FEBRUARY 27, 2024

Exceptional profitability Best yet for investors, the company's high and rising return on invested capital (ROIC) makes these expansion plans even more promising. SFM Return on Invested Capital data by YCharts ROIC measures a company's ability to generate net income from its debt and equity.

Capital 130

Capital Return On Investment Debt Shareholders 130

The Motley Fool

NOVEMBER 2, 2024

Averaging a top-tier cash return on invested capital (ROIC) of 34% over the last decade, Rollins is one of the best compounders on the market, as evidenced by it being a 113-bagger since 2000. As this article points out , stocks with higher ROICs typically tend to outperform.

Mergers and Acquisitions 130

Mergers and Acquisitions Prospects Shareholders Returns 130

The Motley Fool

SEPTEMBER 30, 2024

Lower interest rates lower the cost of capital and can increase the return on investment for capital-intensive projects. Room for further balance-sheet improvements Since the oil and gas downturn of 2014 and 2015, Kinder Morgan has worked hard to restore its balance sheet and rebuild investor confidence in its dividend.

Exchange-Traded Funds 130

Exchange-Traded Funds Debt Leveraging Capital 130

The Motley Fool

SEPTEMBER 15, 2024

Currently generating a return on invested capital (ROIC) of 15% versus a weighted-average cost of capital (WACC) of 10%, the company is creating value for shareholders, generating outsize profits compared to its debt and equity.

Mergers and Acquisitions 130

Mergers and Acquisitions Buyout Best Practices Accounting 130

The Motley Fool

JUNE 7, 2024

What makes these expansion plans look so promising for investors is that O'Reilly's return on invested capital (ROIC) of 67% is one of the highest on the market. Since 2014, Snap-on's net profit margin has risen from 11% to 20%, highlighting the company's robust pricing power and improving operational efficiency.

Professional Services 130

Professional Services Shareholders Debt Returns 130

The Motley Fool

MAY 29, 2024

Enterprise's business model has seen the company consistently grow its distributable cash flow (DCF) per unit (operating cash flow minus maintenance capital expenditures [ capex ]) most years, while keeping it pretty steady during difficult environments, such as when oil prices collapsed during 2014-2016. Image source: Getty Images.

Leveraging 130

Leveraging Taxes Enterprise Values Debt 130

The Motley Fool

MAY 29, 2024

Enterprise's business model has seen the company consistently grow its distributable cash flow (DCF) per unit (operating cash flow minus maintenance capital expenditures [ capex ]) most years, while keeping it pretty steady during difficult environments, such as when oil prices collapsed during 2014-2016. Image source: Getty Images.

Leveraging 130

Leveraging Taxes Enterprise Values Debt 130

The Motley Fool

DECEMBER 24, 2023

The fourth quarter comes in ahead of plan Earlier this year, Carnival CEO Josh Weinstein unveiled a new three-year plan called SEA Change, which stands for Sustainability, EBITDA per available lower berth day (ALBD), and Adjusted return on invested capital (ROIC). In that light, shares trade at 9.5 times forward EV-EBITDA and a 17.7

Debt 130

Debt Enterprise Values Amortization Depreciation 130

The Motley Fool

MARCH 26, 2024

New York Community Bank, if you're not familiar, the stock has pretty much flatlined for the past 10 years until this recent decline from about 2000-2014, they were a 40-bagger. It was arguably from 2014-2019, the best growth environment for banking in the past 30, 40 years. Advertising is only 9% of revenue.

Banks 244

Banks Education Shareholders Accounting 244

The Motley Fool

SEPTEMBER 15, 2023

Actively consolidating its fragmented industry, Rollins has delivered a cash return on invested capital (ROIC) of 33%, highlighting how incredibly well it drives FCF creation via its many acquisitions. dividend yield is its highest since 2014, indicating that now may be a great time to dollar-cost average (DCA) into this steady-Eddie.

Mergers and Acquisitions 130

Mergers and Acquisitions Enterprise Values Public Companies Capital 130

Insight Partners

APRIL 1, 2025

For example, Googles 2014 acquisition of DeepMind was a strategic move to secure leading AI researchers, fueling its advancements in artificial intelligence. If you spend money to acquire customers but quickly lose them, that return on investment is limited. There are two components to this: growth rate and business efficiency.

Mergers and Acquisitions 52

Mergers and Acquisitions Public Companies Initial Public Offering Private Companies 52

The Motley Fool

FEBRUARY 4, 2025

And I just expect more and more -- and more importantly, we're seeing return on investment. We are still not at our high that was 97.1%, if I remember right, in 2014. So I couldn't be prouder of our marketing efforts. They're very digital. They're very fun. They use new media in a lot of ways. Tom's shaking his head, yes.

Assets 130

Assets Portfolios Taxes Debt 130

Private Equity Wire

JUNE 27, 2023

Private equity professionals in sectors such as telecommunications are reporting that the inability to quantify return on investment of AI trials is going to hold back AI adoption in their industry. According to Stanford University’s report, global private investment in AI totalled $93.5

Buyout 52

Buyout Due Diligence Startups Deal Origination 52

The Motley Fool

FEBRUARY 21, 2024

So, they were granted in 2014, and I plan to exercise and hold while selling just enough to pay the cost of exercising and the taxes. Everett's done a really nice job of leading this team, but we see such strong return on investment there that we are going to raise some investment there.

Leveraging 130

Leveraging Portfolios Investing Amortization 130

The Motley Fool

MAY 8, 2024

Or is there something different here that can give you a quicker return on investment? And if you remember, Cologuard when it first got included in the guidelines in 2014, the prior update was eight years before that. And then, I guess kind of building off of this, when would you expect reps to make an impact?

Leveraging 130

Leveraging Education Finance Financing 130

The Motley Fool

JANUARY 20, 2024

Growing its return on invested capital (ROIC) from 10% in 2014 to 22% today, the company's ability to generate net income from its debt and equity is top-tier and improving with time. That's the beauty behind Cintas -- it does the ugly, behind-the-scenes work for businesses so they can focus on their actual operations.

Debt 130

Debt Capital Returns Return On Investment 130

The Motley Fool

JULY 24, 2024

Over time, we expect this to drive greater returns on invested capital in both our mobility and broadband businesses that either would be expected to achieve as stand-alone operations.

Financing 130

Financing Finance Debt Capital 130

Pension Pulse

OCTOBER 13, 2023

However, to comply with their constrained legislative mandates to achieve direct financial returns on investments, they are cornered into deploying the hard-earned capital of Canadians all around the world. There are not enough investments of scale available in Canada to allow such big funds to hit their investment targets.)

Pension Funds 59

Pension Funds Investing Banks Consultants 59

Pension Pulse

MAY 24, 2023

“Despite significant declines in global equity and fixed income markets during our fiscal year, our investment portfolio remained resilient, delivering stable returns while outperforming major indexes.” The positive fiscal-year results reflect returns on investments in infrastructure and certain U.S. including two in St.

Investing 52

Investing Stakes Pension Funds Assets 52

The Motley Fool

JANUARY 11, 2024

I checked the date, June 25th, 2014. They have generated great return on invested capital and great return on equity for many, many years. This has been a long term winner for Motley Fool Rule Breakers. It was recommended by the OG of the Market Cap Game Show, that's Matt Argersinger. So nine years later, a four-bagger.

Taxes 130

Taxes Companies Asset Management Assets 130

The Motley Fool

JANUARY 1, 2025

Most importantly for investors, Cintas' long-tenured management has a lengthy history of delivering profitable growth , as evidenced by the company's high and rising return on invested capital (ROIC) and improved cash generation. annually since 2014, further boosting shareholder returns.

Mergers and Acquisitions 243

Mergers and Acquisitions Shareholders Debt Capital 243

The Motley Fool

NOVEMBER 24, 2024

has seen its e-commerce sales grow by roughly 14% from 2014 to 2023. Building five new fulfillment centers in Brazil and one in Mexico -- which weighed on profitability and helped spur the market's adverse reaction -- the company favors trading short-term profits for long-term cash flows with its logistical investments.

Initial Public Offering 246

Initial Public Offering Return On Investment Prospects Capital 246

The Motley Fool

FEBRUARY 6, 2025

This has resulted in revenue growth of nearly 200% between 2014 and 2024. Every additional transaction that runs through the protocol carries a high return on invested capital. During that decade, the business only registered one down year, which was in 2020 due to the pandemic. There are 3.5

Initial Public Offering 130

Initial Public Offering Financial Institutions Prospects Financial Services 130

The Motley Fool

NOVEMBER 30, 2024

In the last 10 years, between Q3 2014 and Q3 2024 (ended Sept. I'll also call out Ford's return on invested capital (ROIC) of 1.8%. Growth potential Businesses posting surging revenue get a lot of love from investors. Ford doesn't fall into this category. In fact, its growth prospects aren't anything to write home about.

Prospects 130

Prospects Capital Shareholders Returns 130

The Motley Fool

FEBRUARY 9, 2025

At the start of the 2010s, the business directed more capital investments to parks and cruises. Executives aim to boost returns on invested capital, which will help its experiences segment create value for Disney. Between fiscal 2014 and 2024, operating income for the experiences segment rose 132%.

Capital 130

Capital Capital Investments Return On Investment Returns 130

The Big Picture

NOVEMBER 7, 2023

How, 00:15:40 [Speaker Changed] How hard is it to show those audited returns? The, it’s not even return on investment, here’s our $50 billion. And one of the first guys I met in it, this is back in like 2014, I went to this guy’s office. 00:15:47 [Speaker Changed] Right? 00:16:02 [Speaker Changed] Yes.

Securities and Exchange Commission (SEC) 64

Securities and Exchange Commission (SEC) Hedge Funds Banks Legal 64

The Motley Fool

DECEMBER 19, 2024

Down 35% from its all-time high, the company trades at 18 times cash from operations (CFO) and has a dividend yield of 3.3%, both of which are near their most attractive levels since 2014. Both of these marks are near their most favorable levels since 2014. But don't just take my word on these valuation metrics being appealing.

Mergers and Acquisitions 246

Mergers and Acquisitions Prospects Debt Capital 246

The Motley Fool

FEBRUARY 23, 2025

The company has been growing faster than the overall animal healthcare industry every year since 2014 thanks to its penchant for continuous innovation. At the same time, however, the company has also reduced its total shares outstanding by 1% annually since 2014, creating my favorite "X factor" chart.

Mergers and Acquisitions 130

Mergers and Acquisitions Initial Public Offering Shareholders Return On Investment 130