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Revenue is distorted in favour of low margin companies, while profit is distorted in favour of companies with a smaller workforce. A quick proxy for value adde
by mr_toad 2y ago
Revenue is distorted in favour of low margin companies, while profit is distorted in favour of companies with a smaller workforce.
A quick proxy for value added would be gross profit plus gross salaries. Ideally you’d want a measure of capital investment, but this is harder.