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Bank Valuation: Understanding Key Ratios and Metrics

Tom Spencer

In this article, we will explore the importance of profitability ratios and valuation metrics that are crucial when analyzing banks. There are seven key profitability ratios and two valuation metrics that it is important to understand. It is not a useful metric for comparing different business lines.

Metrics 88
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Is Corporate Short-Termism Really a Problem? The Jury’s Still Out

Harvard Business

It has a reasonable methodology. It finds that companies that take a long-term view perform better on many metrics, such as employment growth and shareholder return. McKinsey tries to address this issue by doing comparisons within industries. Its findings deserve much discussion, debate, and attempts at replication.

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A Study of Hospitals Found That Outsider CEOs Make Their Organizations More Productive in the Long Run

Harvard Business

Inside candidates, often groomed by their predecessors, bring firm-, market-, and industry-specific knowledge that outsiders might take years to acquire. Prior studies have two common methodological limitations. Using a 3-to-1 matching of hospitals with no change as a comparison, we analyzed 1,640 firms in all.

Study 28
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Are You Accurately Measuring Your Company’s Digital Strength?

Harvard Business

But traditional metrics might underestimate the impact of digital, leaving companies vulnerable to aggressive competitors or pure-play disruptors. A full explanation of our methodology and the rigorous process of residualization that was required of our hedge fund clients can be found here.). We looked at the top 1,000 U.S.

Metrics 28
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The Most Attractive Cities to Move to for Work

Harvard Business

Methodology The Global Cities 150 Index is based on data collected by AIRINC’s in-house survey team, which continuously researches the costs and living conditions of more than 400 cities around the world to evaluate international mobility for its clients. violence, crime, medical), discomfort (e.g.

Metrics 50