The Motley Fool

OCTOBER 19, 2024

Trust in superior capital allocation Capital allocation in the oil space can be difficult because a company's survival is often prioritized over shareholder profits. How can we tell how good a company has done at investing shareholder wealth? Buffett likes companies that put shareholder interests first. of the company.

Leveraging 244

Leveraging Shareholders Debt Capital 244

The Motley Fool

OCTOBER 8, 2023

Some producers earn higher returns on their reinvested capital dollars than rivals. Here's a look at the return on invested capital ( ROIC ) among some of the largest integrated oil companies using data from New Constructs. Focusing on investing for returns The oil industry has shifted its mindset in recent years.

Shareholders 240

Shareholders Debt Capital Taxes 240

The Motley Fool

NOVEMBER 11, 2024

Since spinning off from pharmaceutical juggernaut Pfizer in 2012, the company has grown its shareholders' initial investment by some sixfold, equating to an annualized total return of 17% over 12 years.

Shareholders 246

Shareholders Returns Return On Investment Capital 246

The Motley Fool

NOVEMBER 12, 2023

WM Cash from Operations (TTM) data by YCharts Despite this ramped-up capex spending, Waste Management remains FCF positive, returning $283 million in dividends and $370 million in stock buybacks to its shareholders during the third quarter. ROIC shows that it is the best in its industry at reinvesting in its business.

Enterprise Values 238

Enterprise Values Amortization Depreciation Earnings Before Interest 238

The Motley Fool

JANUARY 27, 2024

OTC Markets itself, though, could hardly be in better financial shape -- and its recent shareholder returns speak to that fact. OTC Markets' management has an incredible track record of returning the vast majority of this FCF to shareholders through quarterly and special dividend payments.

Initial Public Offering 241

Initial Public Offering Mergers and Acquisitions New York Stock Exchange Shareholders 241

The Motley Fool

SEPTEMBER 1, 2024

In the past decade, Home Depot has averaged a higher operating margin and return on invested capital than Lowe's. Returning capital to shareholders Lowe's is a mature business. The company invests cash in opening new stores or other initiatives, like enhancing the supply chain or omnichannel capabilities.

Shareholders 246

Shareholders Capital Returns Return On Investment 246

The Motley Fool

AUGUST 22, 2024

While some investors may not like that, it reduces shares in issue and increases the claim of existing shareholders on future cash flow. However, the idea of investing in a company is that management can generate better returns on investment than an investor can, so it makes sense to let them do that by retaining cash to add value.

Shareholders 244

Shareholders Debt Capital Assets 244

The Motley Fool

NOVEMBER 18, 2024

Meta aims to significantly boost its 2025 capital expenditure, with CEO Mark Zuckerberg emphasizing the potential for a substantial return on investment (ROI) from AI advancements and even suggesting that capex needs to grow further. It's clear, however, that the company is committed to doing its part to reward its shareholders.

Shareholders 246

Shareholders Capital Return On Investment Returns 246

The Motley Fool

JANUARY 6, 2025

million, producing a core EBITDA margin of 11% and a trailing 12-month return on invested capital of 8.4%. We believe our robust balance sheet and overall financial strength provide us the flexibility to finance our strategic organic growth projects and pursue opportunistic M&A while continuing to return cash to shareholders.

Securities and Exchange Commission (SEC) 242

Securities and Exchange Commission (SEC) Capital Banks Shareholders 242

The Motley Fool

SEPTEMBER 14, 2023

But he has also created substantial wealth for Berkshire Hathaway shareholders. Here's why I'd split a $1,000 investment evenly across Amazon and Visa without hesitation. Amazon fits the bill three times over as it has a strong competitive position in three large markets, and its investments across all three have paid off handsomely.

Financial Services 245

Financial Services Shareholders Consulting Consultants 245

The Motley Fool

JULY 2, 2023

A stellar return on invested capital Leveraging the power of its leadership position in the pool supplies and pool-related products market, Pool Corp. Best yet for investors, Pool's strong profitability also allows it to reward shareholders through rising dividends in addition to this intriguing growth optionality.

Shareholders 225

Shareholders Leveraging Return On Investment Debt 225

The Motley Fool

NOVEMBER 27, 2023

ITW Return on Invested Capital data by YCharts. The company has prudently acquired companies over the years (more than two dozen acquisitions), steadily increasing its return on invested capital (ROIC). TTM = trailing 12 months. Strong management sets the company apart from many of its peers.

Conglomerates 245

Conglomerates Amortization Depreciation Earnings Before Interest 245

The Motley Fool

AUGUST 26, 2023

These businesses are set to deliver handsome rewards to their shareholders as the economy grows stronger. With the variable component set at up to 50% of its excess free cash flow, Devon's cash returns to shareholders could surge if oil prices rise. per share). Image source: Devon Energy.

Shareholders 234

Shareholders Accounting Returns Return On Investment 234

The Motley Fool

AUGUST 31, 2024

Even with the company currently in the trough of its business cycle, Omega Flex currently holds a return on invested capital (ROIC) of 24%. Typically distributing the majority of its earnings to shareholders over recent years -- including a hefty special dividend in 2019 -- management isn't afraid to return cash to shareholders.

Initial Public Offering 240

Initial Public Offering Shareholders Debt Returns 240

The Motley Fool

FEBRUARY 20, 2024

That bodes well for shareholders because the company authorized share repurchases amounting to $700 million. Through this technology, users can run ads when and where they can potentially deliver a higher return on investment. Should you invest $1,000 in The Trade Desk right now?

Investors 240

Investors Shareholders Returns Return On Investment 240

The Motley Fool

JULY 28, 2023

Home Depot excels at returning capital to shareholders Home Depot has long had a restrained growth strategy, choosing instead to optimize profitable growth and return remaining capital to shareholders.

Shareholders 237

Shareholders Stock Market Stock Market Capital 237

The Motley Fool

JANUARY 3, 2024

If you're already a shareholder, you can confidently hold onto the stock. NVO PE Ratio (Forward) data by YCharts Beyond valuation, Novo Nordisk generates a much higher return on invested capital (ROIC) than Eli Lilly. Analysts are bullish too. Consensus estimates currently call for earnings growth averaging over 21% annually.

Shareholders 243

Shareholders Capital Returns Return On Investment 243

Private Equity Professional

DECEMBER 20, 2024

RWI is more common on cleaner M&A exits, such as deals with higher values, a higher return-on-investment, longer exit timelines, fewer management carveouts, and no survival of the sellers general reps & warranties. [5] 2] Source: 120+ deals closed in 2024 on which SRS Acquiom serves as the Shareholder Representative.

Due Diligence 100

Due Diligence Law Firms Bidding Liabilities 100

The Motley Fool

SEPTEMBER 9, 2023

Best-in-class profitability Home to over 100 brands sold in 80 countries, Hershey has a proven track record of generating healthy returns on invested capital as it expanded across the United States in its younger years and globally more recently. return for the S&P 500 as a whole, equally weighted. compared to a 7.7%

Return On Investment 243

Return On Investment Capital Debt Shareholders 243

The Motley Fool

SEPTEMBER 12, 2024

Dividend stocks may not offer the exciting return prospects of growth stocks, but when stock market volatility returns, it is always nice to have extra cash automatically deposited in your account. That is the value of holding shares of strong companies with a long record of paying dividends to shareholders.

Prospects 189

Prospects Shareholders Taxes Capital 189

The Motley Fool

OCTOBER 5, 2024

The business beat Wall Street estimates on both the top and bottom lines in the three-month period, which is certainly an encouraging sign for shareholders. This is evidenced by the company's extremely low return on invested capital (ROIC). Carnival raked in $7.9 This set a record for the business.

Debt 244

Debt Shareholders Capital Returns 244

The Motley Fool

OCTOBER 8, 2023

ALLE Return on Invested Capital data by YCharts. This outsize profitability is ultimately the secret sauce that enables the company to be the steady dividend grower it is today, providing abundant net income that can be returned to shareholders or used to make acquisitions. Why buy now?

Buyout 243

Buyout Return On Investment Shareholders Capital 243

The Motley Fool

FEBRUARY 26, 2024

Three examples are businesses with consistently growing dividend payments and a low payout ratio, steady share repurchases, and a high and rising return on invested capital. Particular financial metrics have been proven to indicate market-beating potential when analyzing stocks.

Shareholders 173

Shareholders Return On Investment Capital Debt 173

The Motley Fool

AUGUST 30, 2023

Advertising gives Amazon's shareholders another way to win Amazon's e-commerce gains are also fueling the expansion of its highly lucrative advertising business. Amazon's ad tools are generating attractive returns on investment for marketers, partially because people tend to go to its sites with the express purpose of buying something.

Investing 264

Investing Debt Shareholders Accounting 264

The Motley Fool

NOVEMBER 28, 2023

The same algorithms, retrained and let loose on business data, can help predict customer preferences, calculate product demand, and allocate scarce resources to get the greatest return on investment. In a recent shareholder letter, management said that demand for its AI platform is "unlike anything we have seen in the past 20 years."

Companies 246

Companies Shareholders Private Companies Accounting 246

The Motley Fool

DECEMBER 15, 2024

The tech veteran argues that over the next six to nine months, three household names will have earned their membership, profiting shareholders along the way. As leaders in the quest to bring AI to the masses, our trio of companies is well positioned to reap the rewards for shareholders. Image source: Getty Images. trillion and $4.4

Consulting 245

Consulting Consultants Shareholders Stakes 245

The Motley Fool

APRIL 23, 2024

Similarly, Nvidia has endured the extreme ebbs and flows of the semiconductor industry because it is an ultra-high-margin business that manages expenses well and consistently earns a return on invested capital. Often, it's the industry-leading companies that can continue to outperform the market and reward their shareholders.

Debt 232

Debt Shareholders Capital Banks 232

The Motley Fool

FEBRUARY 5, 2024

Top-tier profitability Recording a return on invested capital (ROIC) of 13%, Diageo and its Jack Daniels-making peer, Brown-Forman , are the only spirits-focused companies that consistently generate value for shareholders when putting their debt and equity to use.

Mergers and Acquisitions 237

Mergers and Acquisitions Capital Return On Investment Debt 237

The Motley Fool

DECEMBER 16, 2023

Requiring a 15% annualized return for five years, an investment needs to slightly outperform the market's historical annualized total return of roughly 11% to 12% to accomplish this feat. United Parcel Service (NYSE: UPS) and Murphy USA (NYSE: MUSA) are two companies that fit this simple billing.

Mergers and Acquisitions 240

Mergers and Acquisitions Accounting Return On Investment Capital 240

The Motley Fool

OCTOBER 5, 2024

Dividend Kings are an elite group of roughly 50 companies that have raised their payouts to shareholders yearly for half a century or more. They're primarily steady-Eddie businesses with predictable and safe operations and not the sort of stocks you'd expect to deliver market-stomping returns.

Portfolios 244

Portfolios Shareholders Returns Return On Investment 244

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). Here's the lowdown on a fascinating industry.

Investors 181

Investors Shareholders Investing Capital 181

The Motley Fool

JANUARY 14, 2024

The company generated double-digit-percentage returns on invested capital (ROIC) and solid cash flow per unit even during the financial crisis of 2007 and 2008 and the COVID-19 pandemic period. Although the energy sector can experience significant volatility, Enterprise Products Partners has been a textbook example of resiliency.

Shareholders 246

Shareholders Returns Return On Investment Capital 246

The Motley Fool

DECEMBER 26, 2023

Palantir shareholders might also remember in 2021 when CEO Alex Karp forecasted a 30% revenue growth rate in the 2022-2024 time frame. Foundry helps businesses make better decisions and solve problems, and Forrester estimated Foundry delivers a 315% return on investment (ROI) for its users.

Initial Public Offering 246

Initial Public Offering Legal Leveraging Prospects 246

The Motley Fool

AUGUST 20, 2024

Mutual funds and exchange-traded funds (ETFs) will buy and sell stocks right after each rebalancing announcement, keeping their investment portfolios equally fresh -- with no extra effort required by the funds' shareholders. Projected returns Number of years Total Investment Ending Balance Return on Investment 10 $24,000 $38,011 58.4%

Mutual Funds 221

Mutual Funds Exchange-Traded Funds Funds Return On Investment 221

The Motley Fool

MAY 12, 2024

If you're a current shareholder or are looking to buy shares, you'll want to consider the following first. This affects short-term earnings, as the rising costs squeeze profits and require a higher return on investment to make acquisitions worthwhile.

Debt 240

Debt Leveraging Prospects Shareholders 240

The Motley Fool

MAY 9, 2024

First, it ranks as one of the largest property and casualty insurers in the world, meaning it consistently collects substantial capital (in the form of premiums) that can be invested into stocks and bonds. Second, CEO Warren Buffett has demonstrated his ability to earn excellent returns on invested capital.

Portfolios 246

Portfolios Investing Capital Shareholders 246

The Motley Fool

APRIL 21, 2024

SRAD Profit Margin data by YCharts With management laser-focused on buying sports rights with a clear path to an outsize return on investment, the company has finally reached a tipping point in achieving self-sufficiency. This budding FCF generation also gave management the confidence to initiate a new $200 million stock buyback plan.

Initial Public Offering 246

Initial Public Offering Capital Public Companies Shareholders 246