Growth vs sector
A company's 3-year revenue CAGR minus the median of the covered companies in its sector, in percentage points.
Formula
Growth vs sector = 3-year revenue CAGR − median 3-year revenue CAGR of covered companies in the sector
How to read it
Positive means it is outgrowing its sector. The investment score runs from −8 points (worst) to +10 (best).
How to use it
Tells a company that is winning share from one being carried by its industry.
Limitations
A difference, never a ratio: two negative growth rates divided would read as outgrowth. Depends on the peer set covered.
Also called: vs sector growth, growth against its sector, relative growth.