The Value of Growth

The market has a preference for high top-line growth...
We look at what the market is willing to pay for companies with high growth rates and compare this to what has been paid in the past, are we under rewarding growth? We find that companies with very high  top-line growth (8% or more) are generally being rewarded with high multiples versus low growth companies – indeed the difference between the two is not dissimilar to where it has been historically.

>> The Value of Growth, September 7, 2010 [PDF, 300 KB]