Tuesday, September 12, 2006

Go Anne!

www.investopedia.com tip is excellent! Thanks Anne.

One of our questions last night was regarding the Operating Margin (OM). Here's investopedia's definition:

Operating margin gives analysts an idea of how much a
company makes (before interest and taxes) on each dollar of sales. When looking at operating margin to determine the quality of a company, it is best to look at the change in operating margin over time and to compare the company's yearly or quarterly figures to those of its competitors. If a company's margin is increasing, it is earning more per dollar of sales. The higher the margin, the better.


Also on investopedia, Net Worth is defined as Total Assets - Total Liabilities.

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