What is the Sales Growth Rate?

The Sales Growth Rate of a business is the the rate at which it is growing its sales year over year. The Rule #1 Sales Growth Rate calculator helps you determine this rate of growth. Sales Growth Rate is one of the Big 5 Numbers required to determine whether a company may be a Rule #1 'wonderful business'.

Current Sales
Initial Sales
Age Sales

The Sales Growth Rate is:

0%

Use the research tool of your choice, locate historical Sales numbers, going back 10 years if possible. Enter the oldest available number as your "Initial" Value. Enter the most recent number as your "Current" value. Then, in the "Age" box, enter a number of years (for example, if your oldest number is from 10 years ago and your newest is from this year, the total span of time between them is 9 years).

If you're using very large Equity numbers (i.e. $415,000,000) instead of BVPS ratio numbers with decimals in them, drop the zeros off the ends. Just be sure to drop the same number of zeroes off each dollar value you enter.

On MSN Money, Sales is located at: Financial Results > Statements > 10 Year Summary

Next Steps

If these numbers are in line with Rule #1 requirements, move onto the EPS Growth Rate Calculator to finish determining if this business is right for you.

EPS Growth Rate Calculator

EPS Growth Rate

This is one of the Big 5 Numbers required to determine if a company is a wonderful business.

Calculate EPS Growth
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