Revenue trend fit (Rev stability)
How closely the last five years of revenue sit on a straight line, from 0 (scattered) to 1 (perfectly linear).
Predictable revenue is easier to value and much easier to underwrite.
How it is computed here
R-squared of a straight-line fit to annual revenue over the last five filed years
Computed across several filed fiscal years. Filed under growth. Higher is the stronger reading, other things equal.
No published threshold exists for this figure, so this page prints none. Read it against the company's own history and its peers instead.
When it misleads
- It measures straightness, not direction. A company in steady decline scores near 1.
- Needs at least three filed years; withheld below that.
Questions
How is revenue trend fit calculated?
R-squared of a straight-line fit to annual revenue over the last five filed years. Computed across several filed fiscal years.
What does revenue trend fit tell a value investor?
Predictable revenue is easier to value and much easier to underwrite.
When does revenue trend fit mislead?
It measures straightness, not direction. A company in steady decline scores near 1. Needs at least three filed years; withheld below that.