Shareholders perspective Flashcards
1
Q
ROE
A
Return on Equity = Net profit / Shareholders Equity
2
Q
NPM
A
Net Profit Margin = Net profit / Revenues
3
Q
PR
A
Payout Ratio = Dividends per share / Earnings per share = Dividends / Net profit
4
Q
SGR
A
Sustainable growth rate = ROE * (1 - PR)