Apple Is The 5th Most Innovative Company In The World

Forbes has posted the list of the most innovative companies in the world. Apple ranked 5th , Google is the 7th and Guess where Microsoft has landed. Check it out after the Jump.

How is it calculated? We first project a company's income (cash flows, in this case) from existing businesses, plus anticipated growth from those businesses, and look at the net present value (NPV) of those cash flows. We compare the NPV of cash flows from existing businesses with a current market capitalization: Companies with a current market cap above the NPV of cash flows have an innovation premium built into their stock. Big caveat: This method does not correlate with subsequent investor returns.

And here is Microsoft ranking

Via | forbes