3 ms·
the market value is tied to the amount of money that a company can generate (profitability). the profits are in theory given back to investors. this is why sof
by mtw 18y ago
the market value is tied to the amount of money that a company can generate (profitability). the profits are in theory given back to investors.
this is why software companies which have very low capital expenditures have very high market value, since software companies are most of the time very profitable (Microsoft)