GROWTH FIGURES FOR ANHEUSER-BUSCH
|Year||Earnings per share||Return on equity %||Return on capital %|
GROWTH IN EPS
- whether there is something permanently wrong, or
- whether the problem has been isolated and resolved.
WARREN BUFFETT AGAIN ON GROWTHFor Warren Buffett the important thing is not that a company grows (he points to the growth in airline business that has not resulted in any real benefits to stockholders) but that returns grow. In 1992, he said this:
‘Growth benefits investors only when the business in point can invest at incremental returns that are enticing – in other words, only when each dollar used to finance the growth creates over a dollar of long term market value.
In the case of a low-return business requiring incremental funds, growth hurts the investor.’