Capital Allocation and Value Creation: A Market-Based Framework for Executives (1st ed. 2023)

Synopsis

By adopting a practical, market-oriented approach to capital allocation, this book sheds light on the complex issue of cash flow deployment and the creation of shareholder value. In order to run a company efficiently, it is not sufficient to simply be a competent businessperson. One must also possess the skills of a knowledgeable investor. The management must determine where to invest capital given the diverse range of investment options available, such as mergers and acquisitions (M&A), dividends, share repurchase programs, and organic growth opportunities. This book provides a useful analytical framework for corporate executives to consider when allocating capital, along with empirical findings from peer group studies and company case studies. The book helps answer the following questions: · What are the primary factors that drive your company's shareholder value? Are they aligned with the strategy the company is pursuing? · What are the key dynamics and trade-offs between return on investments (ROIC), growth, and earnings quality? · What are the current market expectations embedded in the stock price? · Given the capital allocation priorities, what does an “optimal” capital structure look like? · How do you set, and in turn communicate, the capital allocation and funding priorities? Written by an expert with more than 25 years of experience, this book helps business executives improve their skills as capital allocators by better understanding the financial markets.

Copyright:

2023

Book Details

Book Quality:

Publisher Quality

ISBN-13:

9783031470486

Related ISBNs:

9783031470479

Publisher:

Springer Nature Switzerland

Date of Addition:

02/13/24

Copyrighted By:

The Editor

Adult content:

No

Language:

English

Has Image Descriptions:

No

Categories:

Nonfiction, Business and Finance

Submitted By:

Bookshare Staff

Usage Restrictions:

This is a copyrighted book.