How does the growth in revenue, EPS, and net income indicate long-term performance?

The growth in revenue, EPS (Earnings Per Share), and net income are key indicators of a company's long-term performance. Revenue growth shows that the company is able to increase its sales over time, indicating a strong market presence and effective sales strategies. EPS growth indicates that the company is becoming more profitable, which can lead to increased shareholder value. Net income growth shows that the company is not only increasing its top-line revenue, but also effectively managing its costs and increasing its bottom-line profit. Together, these three metrics provide a comprehensive view of a company's financial health and long-term viability.

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"Investors should focus on a metric's comparison to the prior quarter or year. While 'beating' or 'missing' analysts' estimates are often discussed, impact on share price is relatively short-term. Instead, compare a company's EPS in the current period to what was reported last period. The growth in revenue, EPS and net income is more indicative of long-term performance."

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Quarterly Report (Part 1)

As the first quarter of the year comes to a close, we created a structured 2019 Quarter One Report deck to guide you through making an easy-to-follow ...

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