Sustainable Growth Ratio

The rate of growth a company can attain without changing its profit margin, assets-to-sales ratio, debt-to-equity ratio, or dividend payout ratio, or without excessive borrowing or issuing new stock.
(SGR = plowback ratio • ROE)

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One Response to “Sustainable Growth Ratio”
  1. Fred Xavier says:

    What is the definiton of “plowback ratio”? Is this the same as IRR (Internal Rate of Return)?

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