The Idiot Index

← Back to dashboard
Sector
Operational MarkupApplied to companies whose primary cost basis is cloud infrastructure and customer-facing operations rather than physical materials. The Markup Ratio carries explicit context that COGS captures non-material inputs.
OrderHighest first

Operational Markup in Consumer Internet · FY 2023

24 of 37 companies · highest first
  1. 1
    VRSNVerisign
    $1 of cost+opex becomes $2.88 of revenue
    sector median 1.1416Top 2%
    2.8811
    × revenue / (cost + opex)
  2. 2
    METAMeta
    $1 of cost+opex becomes $1.66 of revenue
    sector median 1.1416Top 6%
    1.6569
    × revenue / (cost + opex)
  3. 3
    GOOGLAlphabet
    $1 of cost+opex becomes $1.44 of revenue
    sector median 1.1416Top 10%
    1.4399
    × revenue / (cost + opex)
  4. 4
    MTCHMatch Group
    $1 of cost+opex becomes $1.40 of revenue
    sector median 1.1416Top 15%
    1.3995
    × revenue / (cost + opex)
  5. 5
    EBAYeBay
    $1 of cost+opex becomes $1.39 of revenue
    sector median 1.1416Top 19%
    1.3899
    × revenue / (cost + opex)
  6. 6
    GRMNGarmin
    $1 of cost+opex becomes $1.32 of revenue
    sector median 1.1416Top 23%
    1.3237
    × revenue / (cost + opex)
  7. 7
    NFLXNetflix
    $1 of cost+opex becomes $1.26 of revenue
    sector median 1.1416Median range
    1.2636
    × revenue / (cost + opex)
  8. 8
    ETSYEtsy
    $1 of cost+opex becomes $1.25 of revenue
    sector median 1.1416Median range
    1.2499
    × revenue / (cost + opex)
  9. 9
    TTWOTake-Two
    $1 of cost+opex becomes $1.23 of revenue
    sector median 1.1416Median range
    1.2294
    × revenue / (cost + opex)
  10. 10
    EAElectronic Arts
    $1 of cost+opex becomes $1.23 of revenue
    sector median 1.1416Median range
    1.2282
    × revenue / (cost + opex)

Not yet covered (13)

These companies are in the Consumer Internet cohort but don't have a Operational Markup computed for FY 2023. Either the underlying inputs aren't tagged in their XBRL filings, the DEF 14A pay-ratio narrative didn't parse cleanly, or this fiscal year hasn't been ingested for them yet.

What this measures

Full methodology →

Revenue per dollar of cost + operating expenses. The multiplier after legitimate operations.

Ratio
Operational Markup
Sector
Consumer Internet
Methodology version
v1.0.0
Formula
Revenue / (COGS + OperatingExpenses)
Sector context

Applied to companies whose primary cost basis is cloud infrastructure and customer-facing operations rather than physical materials. The Markup Ratio carries explicit context that COGS captures non-material inputs.

The multiplier after legitimate operations. A high Markup combined with a low Operational Markup tells a specific story: surplus is being reinvested in the business. A high Markup combined with a high Operational Markup tells the opposite story: surplus is going to shareholders.

Source data: Revenues, CostOfGoodsAndServicesSold, OperatingExpenses (us-gaap) or equivalents in IFRS.