DEFINITION of 'Price/Growth Flow'
A measure formulated to identify companies that are producing solid earnings and investing a large amount in research and development (R&D). This measure is calculated as the following:
INVESTOPEDIA EXPLAINS 'Price/Growth Flow'
The pricetogrowth flow provides a good indication of how much a company is spending on R&D; however, it does not gauge how successful this R&D will be. A large amount spent on R&D does not guarantee product innovations or a successful market implementation that will generate profits for the company.
RELATED TERMS

Earnings Per Share  EPS
The portion of a company's profit allocated to each outstanding ... 
Research And Development  R&D
Investigative activities that a business chooses to conduct with ... 
Profit
A financial benefit that is realized when the amount of revenue ... 
PriceToResearch Ratio  PRR
A measure of the relationship between a company's market capitalization ... 
Times Revenue Method
A valuation method used to determine the maximum value of a company. ... 
Diluted Normalized Earnings Per ...
A company's profit less onetime earnings, divided by both outstanding ...
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