How to Tell Which Company Will Survive an Industry Downturn
“Variation in the operating margin is really a measure of profit wobble. In a capitalist economy, some firms tend to act as shock absorbers – they take a hit – and other firms tend to pass the shock on to customers, suppliers and employees without themselves showing much sign of the shock rippling through their industry, the economy, etc.”
Read the text version of this episode.
Source: http://www.gannononinvesting.com/blog/2017/2/22/how-to-tell-which-company-will-survive-an-industry-downturn
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