Unexpected Returns by Ed Easterling

Author:Ed Easterling
Language: eng
Format: mobi
Published: 2013-11-23T18:30:00+00:00

The estimated level of 1,069.77 for the S&P 500 in 2008 is about 7 percent below its value in late 2004, even though earnings are expected to grow over the next 4 years. Here the Financial Physics model shows one facet of its usefulness. Many investors might assume that the growth in EPS over the next several years would very likely result in a higher market. A contraction in P/E ratios, however, could offset the impact of EPS growth. Expectations based on only one factor, such as EPS, often soar like hot-air balloons. The Financial Physics model helps tether future expectations to the reality of the actual interrelationships between the economy, EPS, inflation, and rising or falling P/E ratios.

Results from Applying Financial Physics Model

Download

Copyright Disclaimer:
This site does not store any files on its server. We only index and link to content provided by other sites. Please contact the content providers to delete copyright contents if any and email us, we'll remove relevant links or contents immediately.