Chairman's Letter - 1979
We continue to feel that the ratio of operating earnings
(before securities gains or losses) to shareholders’ equity with
all securities valued at cost is the most appropriate way to
measure any single year’s operating performance.
(before securities gains or losses) to shareholders’ equity with
all securities valued at cost is the most appropriate way to
measure any single year’s operating performance.
Chairman's Letter - 1979
seeing how much $1 of net assets generates in earnings is the best indicator of evaluating a business.
in an asset light model, you can use intangible assets - like headcount, patents, etc.
how much earnings are you generating per $1 on net assets on the balance sheet