- Operating leverage measures how much a company’s operating profit changes in response to changes in sales volume.
- Price elasticity of demand is a measure of the change in the consumption of a good with respect to the change in its price.
- Discounted cash flow analysis helps to determine the value of investments based on future cash flows.
- The dividend payout ratio is the proportion of profits paid out as dividends to shareholders, usually expressed as a percentage.
- DuPont Analysis is a fundamental performance analysis framework originally popularized by DuPont Corporation.
- Earnings before interest after taxes (EBIAT) measures a company’s operating performance over a specified period or over time.
- The earnings multiplier forms the current price of the company’s shares in terms of the company’s earnings per share (EPS) of the shares.
- Earnings per share (EPS) is a company’s net income divided by the number of shares of common stock outstanding.
- Earnings Value (EPV) is a stock valuation method that looks at a firm’s current cost of capital.
- Yield is 12-month earnings divided by share price.