The minimum acceptable return on new capital expenditures (hurdle rate) for OOH businesses is 15-25% depending on risk (Billboard Insider)
Billboard Insider’s take: If you can’t meet a 12% hurdle rate on your out of home investments you ought to sell your out of home company and buy a US small stock index fund. A hurdle rate of 15-20% makes sense for low risk projects like lighting retrofits or other expense saving items because you’ll see the improved cashflow regardless of what the economy does. […]
Wed, Oct 18, 2023 at 7:52 PM