Very insightful and a thought provoking article. I love that all these threads are captured in the PULSE framework. It re-emphasise for me the importance of the PULSE framework
The question of why a higher multiple for a high-ROE stock isn't already double counting is a good one, and the answer that quality matters for expected future benefits clears it up. Framing it as an assessment of the future rather than the past is the key point.
Very insightful and a thought provoking article. I love that all these threads are captured in the PULSE framework. It re-emphasise for me the importance of the PULSE framework
The question of why a higher multiple for a high-ROE stock isn't already double counting is a good one, and the answer that quality matters for expected future benefits clears it up. Framing it as an assessment of the future rather than the past is the key point.
Sadly doesn´t apply to debt, so watch out for that!