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L Brands

Questions › Category: Financials Quadrant › L Brands
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Justin Lam asked 4 years ago

I am looking at L Brands Financials. There is a slight drop in revenue figures from FY18 to FY 19. Does it that I avoid this company completely since there is drop? The drop is not significant but I am looking at a stock reversal for this.

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Victor Chng answered 4 years ago

Hi Justin,
 
When a company financial figure drop does not means that we avoid the company. The key is the business of the company, is it simple and recurring or does it have a moat. If it does not have usually I will drop it.