CompanyGraph
Use to find companies where this pattern is active.
Total revenue is increasing on a CAGR basis. Share repurchase yield is high — the denominator is shrinking, so per-share metrics rise faster than total revenue. SGA burden is elevated, indicating heavy selling and administrative spending to sustain the revenue base.
State
Total revenue growth alongside heavy buybacks and elevated SGA burden
Emergence
Total revenue is growing (CAGR positive) at the same time buyback yield is high and SGA burden is elevated. When buybacks shrink the share count while revenue is growing, per-share revenue rises faster than total revenue. High SGA burden indicates the company spends heavily on selling and administrative costs to maintain that revenue base.
Limits
This interpretation identifies that per-share growth is amplified by buybacks beyond what total-revenue growth alone would produce. It does not claim buybacks are wasteful, predict revenue trajectory, or assess whether SGA spending is appropriate. Per-share improvement from buybacks can still create value if shares are repurchased below intrinsic value.
Screen for Total Revenue Growth With Buyback Amplification And Heavy SGA
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Explanation
This diagnostic clarifies a common misreading: Surface reading: Per-share revenue growth often gets read as organic business expansion on a per-owner basis. Structural reality: Total revenue is in fact growing (the `cagr-revenue-6y` observation fires on CAGR of total Sales; it does not compute per-share figures). Share Repurchase Yield reveals heavy buyback activity — the share-count denominator is shrinking. SGA Burden indicates the company spends a high proportion on selling, general, and administrative costs. The combination reveals that per-share revenue growth has two drivers — actual revenue expansion AND a shrinking denominator from buybacks — and the company is investing heavily in selling/admin to keep total revenue growing. The interpretation does not say the per-share growth is *only* arithmetic; it says the per-share figure is amplified beyond the underlying total-revenue trajectory by the buyback program, and that the revenue itself comes with elevated SGA cost.
Interpretation
Co-occurrence of the observation readings recorded above. Per-share metrics move with both numerator and denominator; the formulas record both directions but do not assess management intent.
Required Observations
Revenue Growth (CAGR)
Revenue has compounded at roughly 15% a year or faster.
SGA Expenses Relative to Revenue
Selling, general and administrative expenses take up a large share of revenue.
Share Repurchase Yield
Share repurchases have been high for the size of market value across the last five years.