growth company

noun

Definition of growth company

: a company that grows at a greater rate than the economy as a whole and that usually directs a relatively high proportion of income back into the business

Examples of growth company in a Sentence

Recent Examples on the Web The fund’s mission is to invest $50 million or more in technology-focused growth companies. Dom Difurio, Dallas News, "A Dallas unicorn? $100 million investment boosts startup o9 Solutions into rarified world," 28 Apr. 2020 Tesla is still valued by the stock market near $84 billion, its shares priced like a hot growth company in good times. Russ Mitchellstaff Writer, Los Angeles Times, "The coronavirus is putting a dent in Tesla deliveries," 2 Apr. 2020 But growth has beaten the pants off value since the financial crisis (see graphic), led by high-growth companies such as Amazon, Netflix, Google, and Facebook that have monopolized investor mindshare. Ben Carlson, Fortune, "Why You Actually May Want to Buy ‘Bears’ in a Bull Market," 26 Dec. 2019 But a high-growth company, with a top market share in a fast-growing industry, can earn a higher-than-average valuation; investors will pay a premium for a company with the potential for sustained double-digit growth. Glenn Peoples, Billboard, "What's a Music Company Worth? Comparing Tencent's UMG Deal to Other Label Investments," 14 Oct. 2019 Heading into 2020, some analysts say beaten-down value stocks and bonds are better options than trade-sensitive growth companies in the technology sector that have propelled the bull market. Jessica Menton, USA TODAY, "Worried about the stock market? How to shield your 401(k) against a Trump impeachment, recession and trade war," 19 Dec. 2019 WeWork co-founder and former CEO Adam Neumann became a hero among unicorn creators by building a fast-growth company once valued as high as $47 billion. Rosabeth Moss Kanter For Cnn Business Perspectives, CNN, "WeWork's saga is a cautionary tale about golden parachutes and CEO pay," 5 Nov. 2019 In 2017, the Birmingham Venture Club awarded Pharo with the Jemison Award for Momentum, which recognizes high quality, fast-growth companies based in Birmingham. Greg Garrison | Ggarrison@al.com, al, "Birmingham-Southern names five new trustees," 25 Nov. 2019 High growth companies such as Amazon, Apple, Netflix, Google, and Facebook have attracted investor mindshare while boring old value stocks have been left in the dust. Ben Carlson, Fortune, "Looking For Stock Market Buying Opportunities? There’s Always a Bear Market Somewhere," 22 Nov. 2019

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'growth company.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

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First Known Use of growth company

1959, in the meaning defined above

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The first known use of growth company was in 1959

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Cite this Entry

“Growth company.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/growth%20company. Accessed 8 Jul. 2020.

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More Definitions for growth company

growth company

Legal Definition of growth company

see company

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