Lawn Care Business Forum Lawn Care Business Book Lawn Care Business Blog Lawn Care Software
Home Forum Contract & Flyer Templates Blog Software Videos Podcast Calculators / Estimators Store Mower Review Design It Yourself Lawn Business School

Go Back   GopherHaul Landscaping & Lawn Care Business Marketing Forum > Business > Money, Finances, Stocks, Bonds, & Investments.

Money, Finances, Stocks, Bonds, & Investments. A discussion on Money, Finances, Stocks, Bonds, & Investments.

Growth Stocks & Business life cycles


Money, Finances, Stocks, Bonds, & Investments.

A discussion on Money, Finances, Stocks, Bonds, & Investments.
Reply
 
Thread Tools Search this Thread
  #1  
Old 02-28-2011, 01:04 AM
Steve's Avatar
Steve Steve is online now
Administrator
 
Join Date: May 2003
Posts: 37,502
Rep Power: 10
Steve has disabled reputation
Default Growth Stocks & Business life cycles

Growth stocks are as those that create annual earning and sales at a faster pace than average businesses.

Now with that in mind, when investing in growth stocks, you have to take into consideration at what stage a business is, within it's life cycle.

A business goes through four separate stages in it's growth.

The first is the Early Development Stage. This is when a company's revenue accelerate and it begins to make a profit.

The second stage is the Rapid Expansion Stage. During this stage, a company will experience rapid growth as it expands outward and capitalizes on the demand of it's customer base. Revenues will grow and profits margins will widen.

The third stage is the Mature Growth Stage. This is a period when the company reaches the peak of it's ability to produce and the market's ability to consume. At this stage, revenues and earnings slow.

The last stage is the Stabilization Decline Stage. This is a period when, either due to a waning interest in the service or product or an increase in competition, revenues will drop. Along with the drop in revenues, profit margins and earnings will decline.

If you invest too early in a growth stock, the company will not have been tested and could have the potential to flame out for many reasons. Lack of capital, poor management, interest in the product or service cease to exist or any other of a multitude of reasons.

If you invest too late in a company's life cycle, it may be close to reaching it's mature growth state, when revenues begin to decline.

Benjamin Graham's view on when to purchase stock in such a company came down to two points. Either purchase it when the stock price has lowered, due to a market correction, that tends to occur during a bear market, or purchase the stock when it is trading below it's intrinsic value.

This intrinsic value is based on the company's assets, it's earnings and dividends and future prospects.
__________________
- Subscribe to my Lawn Care Marketing Blog Feed and get daily tips sent to you. Free!
Download your Free trial of Gopher Lawn Care Software.
Reply With Quote

Stop guess-timating. Learn how to estimate and make money! $$$
Mow Time Estimator Lawn Care Price Estimator Mulch and Topsoil Calculator Snow Plow Estimate Calculator


Reply

Bookmarks

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On
Forum Jump

Similar Threads
Thread Thread Starter Forum Replies Last Post
Think BIG and Kick ### in Business and Life Steve General Business Discussions 10 05-07-2008 07:27 PM
Incorporate your Business and your Life. Dreams International Introduce Yourself 5 02-18-2008 10:08 AM
How far will the stocks fall? Steve General Business Discussions 0 01-22-2008 09:23 AM
Two Billing Cycles tiedeman Gopher Software Support Archived Question & Answers - Read Only 4 03-23-2006 07:44 PM
Business growth and improvement for next year? Steve General Business Discussions 2 10-11-2005 07:57 PM

» Recent Threads
  RatingTitle, Username, & Date Last Post Replies Views
scag SWZT review!
mattthelawnguy
07-23-2015 02:28 PM
Yesterday 06:12 PM
by rootytalbot
7 312
Hello!
brandycarlton
Yesterday 12:31 PM
Yesterday 03:54 PM
by Steve
1 110
Assessing the Market
NJDB60
07-27-2015 03:25 PM
07-28-2015 09:24 PM
by Steve
2 216
Whats wrong with this...
GreenWorx
07-28-2015 07:56 PM
07-28-2015 09:09 PM
by Steve
2 196
Funny craigslist post
GreenWorx
07-28-2015 07:17 PM
07-28-2015 09:02 PM
by Steve
2 203
Watch out for this -...
rootytalbot
07-22-2015 02:13 PM
07-28-2015 09:00 PM
by Steve
7 352
NewVenture
NJDB60
07-27-2015 03:38 PM
07-28-2015 08:58 PM
by Steve
1 203
Pricing issue
Mr. Mow
07-07-2015 06:15 AM
07-27-2015 06:40 PM
by GreenWorx
17 726
how to make customers...
Bradcook21
05-27-2015 05:04 PM
07-27-2015 06:08 PM
by GreenWorx
15 2,910
Need your help, Gopher...
Chilehead
07-23-2015 07:02 PM
07-27-2015 11:28 AM
by Steve
11 355
Should I buy this Exmark...
googus
07-03-2015 09:22 AM
07-27-2015 11:27 AM
by googus
8 547
These are the days on...
ExtremeLawncareServices
01-11-2015 10:41 AM
07-27-2015 11:22 AM
by Steve
94 10,393
Dogs
Mr. Mow
06-29-2015 02:37 PM
07-25-2015 07:50 AM
by Chilehead
12 2,385
Just about mid year, how...
GreenWorx
06-24-2015 07:05 PM
07-22-2015 07:31 PM
by Chilehead
14 2,444
Learning as I grow -...
WarriorLandscapingCAN
07-18-2015 07:46 AM
07-21-2015 10:53 AM
by Steve
3 294
Large dirt mound removal
purdue1973
07-09-2015 07:45 PM
07-20-2015 12:55 PM
by Steve
6 409
Hey everyone
Fantasy landscaping
07-09-2015 06:53 AM
07-09-2015 11:47 AM
by Steve
1 316
Quickbooks Online
jscarolina
07-08-2015 07:54 AM
07-08-2015 12:55 PM
by Nate10928
1 334
I dont know what to do...
Bradcook21
06-21-2015 08:49 AM
07-07-2015 09:48 PM
by SGL1
16 2,709
Start LIKING FACEBOOK...
rlclawncare123
02-26-2015 12:06 AM
07-07-2015 02:54 PM
by GreenWorx
13 3,661
Is it too late to do...
markty
06-16-2015 05:28 PM
07-07-2015 01:00 PM
by problem solver
9 2,464
Hi everyone
Mattw
07-06-2015 05:59 PM
07-07-2015 10:18 AM
by Steve
1 341
4th of July parade...
Steve
07-06-2015 10:35 AM
07-06-2015 10:35 AM
by Steve
0 289
Unemployment rates drop,...
Steve
07-02-2015 12:40 PM
07-06-2015 10:30 AM
by Steve
4 457
another newish job for me
holymoly
06-07-2015 08:34 AM
07-03-2015 02:06 PM
by American L&T
9 2,461
Before & After tree...
COREtreeservice
07-01-2015 09:20 PM
07-01-2015 09:20 PM
by COREtreeservice
0 388
Ready to learn and get...
Koley Lawn & Landscape
06-28-2015 05:16 AM
07-01-2015 11:26 AM
by Steve
8 2,230
Three Stripe Land Care...
hammr04
06-30-2015 07:19 PM
07-01-2015 11:24 AM
by Steve
1 358
Country Life Lawn Care
darleneh
06-29-2015 11:24 AM
06-30-2015 01:25 PM
by Steve
3 2,066
» Popular Tags
accounting ad landscaping advertising aerocore apartment bid apartment complex apartment lawn care estimate applying bark billy goat brushcutter bob villa bush collections contract help curb appeal services deliquentaccounts door hangers edging employee problems equipment dealer equipment rental facebook financials flyers foreman free advertising free lawn care google growing a lawn care business hardscapes hiring husqvarna hydro invoicing jobs landscape landscape services landscaping lawn aeration lawn care lawn mowing marketing marketing secrets mr dave mulch new business past due per hour charge per hour service plowing profit on employee quickbooks roundup scag secrets to landscaping sell the vision seo shell small engine repair snow plowing solo backpack sprayer sq ft swzt tree tree pics walk behind web design website winterization www.greenturion.co.za
Powered by vBadvanced CMPS v3.1.0

All times are GMT -5. The time now is 10:43 AM.


(C) 2011 Riggs Publications - Terms of use & Privacy Policy

All times are GMT -5. The time now is 10:43 AM.

(C) 2011 Riggs Publications - Terms of use & Privacy Policy