Analytical frameworks
Sectors
Six sector frameworks — metrics, value drivers, and risks.
Net Interest Margin, CET1 Capital Ratio, Return on Equity, Efficiency Ratio, Non-Performing Loan Ratio
Value Drivers
- +Net Interest Income
- +Fee & Commission Revenue
- +Credit Quality
- +Capital Adequacy
- +Cost-to-Income Ratio
Risks
- −Interest rate sensitivity, credit cycle exposure, regulatory capital requirements, and geopolitical risk in cross-border banking.
Avg Gross Margin
68.0%
Avg ROE
14.2%
Avg Rev Growth
7.1%
Companies
21
Revenue Growth Rate, Gross Margin, R&D Intensity, Free Cash Flow Yield, Cloud ARR Growth
Value Drivers
- +Recurring Software Revenue
- +Cloud Infrastructure Spend
- +AI Monetisation
- +Semiconductor Cycle
- +Developer Platform Adoption
Risks
- −Valuation multiple compression on rate rises, AI capex cycle uncertainty, semiconductor supply chain disruption, and US-China technology export controls.
Avg Gross Margin
61.0%
Avg ROE
19.8%
Avg Rev Growth
14.3%
Companies
20
Pipeline Value, Patent Cliff Exposure, R&D Yield, Operating Margin, Medical Loss Ratio (Managed Care)
Value Drivers
- +Drug Pipeline Productivity
- +Patent Expiry Schedule
- +Generic Competition
- +Regulatory Approval Rate
- +Pricing Power vs. PBM Pressure
Risks
- −Patent cliff risk, drug pricing regulation, clinical trial failure, FDA approval timelines, and biosimilar competition.
Avg Gross Margin
64.0%
Avg ROE
17.8%
Avg Rev Growth
8.2%
Companies
20
Same-Store Sales Growth, Gross Margin, Inventory Turnover, Brand Equity, Operating Leverage
Value Drivers
- +Pricing Power
- +Volume Growth
- +Input Cost Management
- +Distribution Reach
- +Premiumisation Strategy
Risks
- −Input cost inflation, consumer spending slowdown, private label competition, currency headwinds on international revenues, and e-commerce channel disruption.
Avg Gross Margin
48.0%
Avg ROE
22.1%
Avg Rev Growth
6.4%
Companies
20
GMV Growth, Take Rate, Monthly Active Users, Customer Acquisition Cost, Contribution Margin per Order
Value Drivers
- +Network Effects
- +Monetisation Rate
- +User Engagement Depth
- +Platform Take Rate
- +Unit Economics at Scale
Risks
- −Regulatory antitrust risk, digital advertising cycle sensitivity, gig economy labour classification, geopolitical risk for China-linked platforms, and profitability timeline uncertainty.
Avg Gross Margin
54.0%
Avg ROE
16.4%
Avg Rev Growth
11.8%
Companies
19
Order Backlog, Operating Leverage, CapEx Intensity, Return on Invested Capital, Free Cash Flow Conversion
Value Drivers
- +Infrastructure Spending Cycle
- +Energy Transition Demand
- +Aftermarket Services Revenue
- +Automation & Robotics Adoption
- +Pricing Power on Long-Cycle Contracts
Risks
- −Global manufacturing slowdown, raw material cost inflation, supply chain disruption, currency headwinds on international revenues, and cyclical order book contraction.
Avg Gross Margin
34.0%
Avg ROE
14.8%
Avg Rev Growth
5.8%
Companies
20