WOW 0.09% $32.98 woolworths group limited

Mango5All ROIC is useful for imo is to compare the effectiveness...

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    Mango5

    All ROIC is useful for imo is to compare the effectiveness of past capital allocation across a sector.

    Do you agree that goodwill should be included in calculating ROIC? I believe it should be as is represents a real investment of capital. It would be wrong for example to include Coles earnings in the numerator but exclude the 'assets' of Coles purchased in the denominator.

    I agree that what you buy is cashflow and therefore the only way to value a company is a DCF.

    Lucky

    I will post a valuation for WOW when i have spare time.
 
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