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  "documentTitle": "BCG Investor Perspectives Series Q4 2023",
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  "notes": "Contains survey data from Q4 2023 comparing results to June 2023 and historical averages.",
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      "text": "Investors expect companies to both invest for longer-term growth and fully deliver on near-term guidance and analyst consensus.",
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      "text": "Roughly 88% of investors consider it important for companies to invest in key business capabilities (even at the expense of delivering EPS), down from 91% in June 2023, but close to the series average of 89%; at the same time, 86% of investors want healthy companies to deliver on guidance and consensus, which ties the all-time series high and is significantly higher than the series average of 67%. Similarly, 83% of investors are supportive of companies investing in innovation and go-to-market strategies even if that affects their margins short term, while 79% of investors support companies hunkering down—that is, focusing on reducing costs to strengthen near-term profitability and not reinvesting cost savings into medium- or longer-term growth. Investments for growth and top-line protection remain investors’ number one priority; despite that, the share of investors ranking them as a top-three priority for financially healthy companies is now 68% (down from 76% in June 2023), but it still is above the survey result of 63% in February 2023; at the same time, 63% of investors choose building financial resilience and managing cash flow as a top-three priority for financially healthy companies (similar to 62% in June 2023), and 37% highlight preserving or expanding gross margins (up slightly from 34% in June 2023)",
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      "text": "When asked to rank their top three investment considerations, 52% of investors highlighted long-term organic growth (near the 53% survey result in June 2023), and 36% chose FCF generation (up from 26% in June 2023). The next most common top-three investment considerations remain very similar to the June 2023 survey: return on capital (22%, similar to 23% in June), medium-to-long-term margin upside (21% vs. 22% in June), healthy balance sheets (constant at 21% vs. June), and absolute valuation levels (20%, up from 16% in June)",
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      "text": "Investor sentiment: 88%",
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      "text": "Investors continue to prioritize long-term organic growth as the most important company-specific consideration for their investment decisions and recommendations, followed by free cash flow generation, which now stands out relative to other secondary considerations.",
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      "text": "Investors expect companies to both invest for longer-term growth and fully deliver on near-term guidance and analyst consensus. While these expectations may appear to conflict at first, they highlight that investors want companies to deliver the best of both worlds. As a result, corporate leaders need to identify the right balance and convincingly guide investors expectations.",
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      "text": "Source: BCG Investor Perspectives Series, Q4 2023, October 10–13, 2023; n = 150. Note: FCF = free cash flow. The average across 24 investor pulse checks was calculated using the percentage of investors that were bullish for the current calendar year at the time of each survey.",
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