Explain usual value of the sales of net income
Does the usual value of the sales and of the net income of Spanish companies have anything to do along with sustainable growth?
Expert
No. Sustainable growth this is just a number which shows how much a company could grow without any capital raises or debt raises and considering a constant return. Conversely, an increase in sales or net income depends upon the market and upon the competition and has little to do along with sustainable growth.
Is the net income of a year money the company made that given year or is this a number whose importance is quite doubtful?
The part of the net income which is not distributed to shareholders goes to reserves (to shareholders’ equity). As dividends shows real money, reserves are real money as well. Is it true?
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Is this possible to make money in the stock market while the quotations are going down? And what is credit sale?
A financial consultant obtains various valuations of my company when this discounts the Free Cash Flow (FCF) as opposed to when this uses the Equity Cash Flow. Is it correct?
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