How to Choose Between Growth and ROIC
Investors reward high-performing companies that shift their strategic focus prudently, even if that means lower returns or slower growth.
Content: Article | Authors: Bin Jiang, Tim Koller | Source: McKinsey Quarterly | Subjects: Finance, Management
Paying Back Your Shareholders
Successful companies inevitably face that prospect. The only real question is how.
Content: Article | Authors: Bin Jiang, Tim Koller | Source: McKinsey Quarterly | Subject: Industry Specific
The Myth of Smooth Eearnings
Many executives strive for stable earnings growth, but research shows that investors don’t worry about variability.
Content: Article | Authors: Bin Jiang, Tim Koller | Source: McKinsey Quarterly | Subjects: Finance, Management
Balancing ROIC and Growth to Build Value
Companies find growth enticing, but a strong return on invested capital is more sustainable.
Content: Article | Authors: Bin Jiang, Bing Cao, Tim Koller | Source: McKinsey Quarterly | Subjects: Finance, Management
Living with the Limitations of Success
Once companies reach a certain size, setting realistic performance aspirations gets a bit trickier.
Content: Article | Authors: Bin Jiang, Tim Koller | Source: McKinsey Quarterly | Subject: Management
The irrational component of your stock price
In the short term, emotions influence market pricing. A simple model explains short-term deviations from fundamentals.
Content: Article | Authors: Bin Jiang, Marc H. Goedhart, Tim Koller | Source: McKinsey Quarterly | Subject: Finance