It's both bigger than you might think and more rare.
Thank you for this excellent article.
What would you say are some examples of businesses that have been able to re-invest capital successfully and how do we as investors measure the return on that re-invested capital?
Here's a Substacker that answers your question...@CompoundQuality:
https://www.compoundingquality.net/p/what-you-need-to-know-about-return
And here's one of our write-ups on a company with very high return on re-invested capital:
https://specialsituationinvesting.substack.com/p/otc-markets-group-b1f#details
Are there sources you would recommend to learn more about how return on capital, return on incremental capital, and reinvestment rates are calculated?
Thank you for this excellent article.
What would you say are some examples of businesses that have been able to re-invest capital successfully and how do we as investors measure the return on that re-invested capital?
Here's a Substacker that answers your question...@CompoundQuality:
https://www.compoundingquality.net/p/what-you-need-to-know-about-return
And here's one of our write-ups on a company with very high return on re-invested capital:
https://specialsituationinvesting.substack.com/p/otc-markets-group-b1f#details
Are there sources you would recommend to learn more about how return on capital, return on incremental capital, and reinvestment rates are calculated?