PROFITS ARE WHAT businesses are supposed to be about. Shareholders start, build and continue to own businesses, in order to make profits. But all companies are not equal. Profit margins differ among industries and to a lesser extent among companies in the same industry. If margins are too low, the company is reliant on debt to expand. If margins are too high, it attracts competition. Importantly, if the profits are real, the company can pay cash dividends. While some shareholders may prefer…
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