SBC / sales

Stock compensation over revenue, inverted

One of the 61 measures in Stock Scorer, under Quality — How much of the revenue is really kept — and what did it take to earn it?

How it is worked out

Share-based compensation ÷ revenue × 100, then inverted

Share-based compensation is pay settled in shares instead of cash. It is a real cost even though no cash leaves: existing owners end up with a smaller share of the company. Spending less of revenue on it scores higher.

How to read it

1% earns a 10, 25% a 1

Which figures it needs

Computed from 2 figures taken from the filing:

• sbc
• revenue

The XBRL tags behind it

These are the element names looked for in a filing, in order. The first one a company reports is the one used, and the company page names which it was — so any figure here can be checked against the filing it came from.

• ShareBasedCompensation
• AllocatedShareBasedCompensationExpense
• ShareBasedCompensationArrangementByShareBasedPaymentAwardCompensationCost
• ShareBasedPaymentsExpense
• ExpenseFromSharebasedPaymentTransactionsWithEmployees
• AdjustmentsForSharebasedPayments
• ExpenseFromSharebasedPaymentTransactionsInWhichGoodsOrServicesReceivedDidNotQualifyForRecognitionAsAssets
• CompensationExpenseShareBasedPayments
• RevenueFromContractWithCustomerExcludingAssessedTax
• Revenues
• RevenueFromContractWithCustomerIncludingAssessedTax
• SalesRevenueNet
• SalesRevenueServicesNet
• RevenueFromContractsWithCustomers
• Revenue

Whether it counts

This measure is counted in Quality by default. It can be taken out on the dashboard, and the dimension is then measured over whatever is left.