Search+Intelligent InvestingSynopsisGrowth is supposed to be the thing you want in a business. Warren Buffett spent one of his sharpest letters explaining why that is often wrong: Why some of the fastest-growing companies destroy their owners’ money precisely by growing, while a small candy shop that barely grows at all can be one of the finest investments ever made. He reduced the whole distinction to three kinds of business. Knowing which lot a company is in changes how you value it.Of all the things Warren Buffet has practiced, there is one which Indian investors can follow with ease and clean up their portfolios. It is straightforward, really: Classify businesses into three simple segments. The great, the good, and the gruesome. Read on to find out how.First, let’s consider a question that sounds simple but almost never is: If two companies both grow their profits at the same healthy clip year after year, are they equally ETMarkets.com 19 mins readAug 06, 2026, 07:27:00 PM ISTGift this Story to your friendsFONT SIZEAbcSmallAbcMediumAbcLargeSAVEPRINTCOMMENTContinue reading with one of these options:Limited AccessFreeLogin to get access to some exclusive stories & personalised newslettersLogin NowUnlimited AccessStarting @ Rs120/monthGet access to exclusive stories, expert opinions & in-depth stock reportsSubscribe NowETUh-oh! This is an exclusive story available for selected readers only.Worry not. You’re just a step away.What’s Included withETPrime Membership