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Economic Profit Analysis The best measure of a firm's ability to create value for shareholders is expressed 22-15-2945 by comparing its return on invested capital [ROIC] with its weighted average cost of capital (OTC:WACC). The gap or difference between ROIC and WACC is called the firm's economic profit spread. Huntsman's 3 year historical return on invested capital (without goodwill) is 4.8%, which is below the estimate of its cost of capital of 8.8%. As such, we assign the firm a ValueCreation rating of POOR. In the chart below, we show the probable path of ROIC in the years ahead based on the estimated volatility of key drivers behind the measure. The solid grey line reflects the most likely outcome, in our opinion, and represents the scenario that results in our fair value estimate.
Experts say all are healthful. Many scientists link health benefits to tea's polyphenol antioxidants, which protect against oxidative stress, but others say they don't know exactly which chemicals or combinations of chemicals in tea produce the benefits. Sherman, for example, said there's no evidence connecting tea's antioxidants to beneficial effects, and he pointed to a study showing that wholesale jordans online black tea reduces LDL, or "bad," cholesterol without affecting antioxidant levels, suggesting something else in tea is causing this.
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