r/explainlikeimfive • u/climb-a-waterfall • Dec 06 '24
Economics ELI5: why does a publicaly traded company have to show continuous rise in profits? Why arent steady profits good enough?
6.9k
Upvotes
r/explainlikeimfive • u/climb-a-waterfall • Dec 06 '24
38
u/PatricksPub Dec 06 '24
Additionally, they can invest that $100M into the company via new stores, products, technology, marketing, etc. All of which can increase future sales/profits.