Leveraging Household Consumption to Upgrade Firm PE
Leveraging Household Consumption to Upgrade Firm PE Prasad Rao, Director AltKuznets Sustainability Advisors Pvt Ltd altkuznetsadvisors.com Click here for AltKuznets Biz Sales Office Introduction The economy of the past, characterized by volumes, prices, costs, taxes, and profit margins, sales-based competition has by and large, turned less important as a new economy, characterized by monetizations, multiple currencies, hedges and insurances, as well as Sustainability performance and Product niches takes centre stage. The new economy runs on different rules – rules that the Equity Market seemingly doesn’t mind, even is comfortable with. Finance has taken precedence of fundamental economic parameters. This new economy is characterized by global competition for CC Capital that is arbitraged through the PE multiple at which the EPS of competing Growth firms are negotiated and traded. Large FIIs, Mutual funds & Pension Funds, Sovereign Funds, and Sector Intere...