Long Term Stable Growth

## Does stable growth of revenues lead to higher returns? One of the interesting aspects about factor investing is that it is about the question what a good company looks like - an attractive business that is. A characteristic that often comes to mind is stable revenue growth. Or stable Gross Profit growth, or any other line on the Profit & Loss or Cashflow Statement. Surely, when a company has a stable growth history that signals something about the quality of the company. Right? Let's find out! To do this, we can rank companies through time. But we will need a formula for that based on the the P&L line item that we are interested in.