The company has consistently increased its invested capital while not generating a subsequent increase in profits, thereby
destroying shareholder value in the process.
A company may grow earnings by 15 % and
still destroy shareholder value if it must pour more and more capital into the business just to maintain this growth.
Investors need to hold management accountable for intelligent capital allocation, else they can expect companies to continue to
destroy shareholder value without feeling any accountability to their investors.
The ultimate aim is to respond to the new urgency amongst major oil investors to review their exposure to assets that are at risk
of destroying shareholder value.
Mark Fulton, Research Advisor to Carbon Tracker: «What our blueprint advances is a risk management process that tests for what could be seen as an «orderly» energy transition and considers a «disorderly» one where change is abrupt, a so - called «black swan» event, that tests business models to the limit,
potentially destroying shareholder value in the process.»
For the long - term investor, GLUU is a company with no profits, moderate growth, and management that consistently
destroys shareholder value by diluting their equity.
Companies that misread the signals and overinvest in marginal oil, gas and coal projects based on a false sense of security could
destroy shareholder value worth billions of dollars»
«What our blueprint advances is a risk management process that tests for what could be seen as an «orderly» energy transition and considers a «disorderly» one where change is abrupt, a so - called «black swan» event, that tests business models to the limit,
potentially destroying shareholder value in the process.»
Or hear then Wesfarmers chief Richard Goyder and his Bunnings boss John Gillam explain how they wouldn't make the same mistakes as Woolworths and
destroy shareholder value in Wesfarmers» first big venture overseas?
Nevertheless, Bombardier illustrates everything wrong with multiple voting shares, a concept that makes it possible for intransigent owners to
destroy shareholder value while leaving investors no way to push for changes.
Swiss specialty chemicals maker Clariant (clzny) and Texas - based Huntsman Corp. (hun) abandoned their $ 20 billion merger Friday, giving in to activist investors who had fought against the deal for months on the grounds that it would
destroy shareholder value.
Many companies have misguided executive compensation plans that push management towards acquisitions and other activities that
destroy shareholder value.
As long as the firm pays executives based on «adjusted EPS,» which conveniently removes certain restructuring and acquisitions costs, JAH will continue to
destroy shareholder value.
However, as we'll show below, only in the event a firm is willing to
destroy shareholder value is ACHC worth more than its current share price.
Acadia Healthcare had all the makings of a Wall Street roll - up scheme, where continual acquisitions boost accounting earnings, make investment banks and executives richer, and, ultimately,
destroy shareholder value.
This large discrepancy was in part due to WhiteWave's acquisitional growth strategy, which as we have pointed out before, due to the high - low fallacy, can artificially manufacture EPS growth while
destroying shareholder value.
As we'll show below, only in the event a firm is willing to
destroy shareholder value is MFRM worth more than its current share price.
Despite being the industry leader, we'll show below that Mattress Firm is not an attractive acquisition target because unless a buyer is willing to
destroy shareholder value, an acquisition at current prices would be unwise.
Fortunately, the lack of focus on ROIC has not led to executives getting paid while
destroying shareholder value.
As long as management is incentivized to
destroy shareholder value, Valeant is in the Danger Zone.
CEO Randall Stephenson's $ 85 bln offer for Time Warner lacks strategic rationale, has politicians of all stripes criticizing it and has
destroyed shareholder value while denying owners a vote.
Such corporate debacles «have
destroyed shareholder value and global confidence in institutions once thought to be market leaders,» despite market and regulatory reforms, Hodgson argues.
In practice, however, the issuance of new shares can
destroy shareholder value.
If a bit of bad news comes out about Brown - Forman, the stock could easily correct to a lower price - to - earnings multiple and remain there for years —
destroying shareholder value in the process.
Otherwise, Buffett would be
destroying shareholder value.
It is also driving a new urgency amongst major oil investors to review their exposure to assets that are
destroying shareholder value and putting pressure on asset managers to shelve capex spending, diversify portfolios and invest in cost - effective low carbon energy.
Misreading these trends will
destroy shareholder value.
The Local Authority Pension Fund Forum (LAPFF) and Carbon Tracker Initiative believe that planning on this outcome risks over-investment, potentially
destroying shareholder value.
Clean technology and climate policy are already reducing fossil fuel demand — misreading these trends will
destroy shareholder value.