The court said it can look at a principle called the «momentum of the marriage» to determine if that caused
the higher future earnings.
Companies with
higher future earnings are usually expected to issue higher dividends or have appreciating stock in the future.
But the prices of the reinsurers did not fall because pricing power returned, and investors expect
higher future earnings as a result.
As compared to the old - economy stocks that invest in well - established companies with little or no investment in technology, these new - economy stocks report
higher future earnings estimates because they are expected to grow at faster rates than the stocks of a typical brick and mortar company.
There are, however, better and worse ways to underperform the market over short periods of time and, despite global profit margins nudging to all - time highs, the valuations of growth stocks are now pricing in ever -
higher future earnings.
The only time it makes sense to be loose in accepting a low current earnings yield is when, with a high degree of certainty, you expect a company to have
a high future earnings per share rate going forward.
Not exact matches
In reality, when investors are paying extremely
high prices for each dollar of
earnings that equities produce, market math dictates that
future returns will be the reverse of what the bulls are claiming — extremely low.
«The best predictor of
future returns is whether you buy at low or
high prices relative to
earnings,» says Chris Brightman, chief investment officer of Research Affiliates, a firm that oversees strategies for $ 161 billion in mutual funds and ETFs.
Any
earnings growth will be unevenly distributed, with planned cuts to working - age benefits and the potential for
higher inflation in the
future hitting low - income households harder than
high - income households, the IFS said.
High earnings won't change the future, only passive income with consistent growth eventually offsets all your living costs and gives you a high quality of l
High earnings won't change the
future, only passive income with consistent growth eventually offsets all your living costs and gives you a
high quality of l
high quality of life.
In its wake, we've seen residents in
high property tax states rushing to pre-pay their 2018 bills, small businesses re-evaluating their organizational structures, and corporations positioning themselves for potentially massive repatriations as well as a
future earnings windfall.
Tyre maker Nokian dropped more than 5 percent after first - quarter profit missed expectations and analysts believe that the
higher cost of raw materials will dent
future earnings.
U.S. stock index
futures signaled a
higher open on Thursday, following gains in Europe on the back of strong bank
earnings and a peace deal between Russia and Ukraine.
Yet investors have not substantially marked down P / E ratios, as if
high rates of
future earnings growth can be expected to resume despite never having actually existed in any sense that's relevant to shareholders.
In addition, our
future income taxes could fluctuate because of
earnings being lower than anticipated in jurisdictions that have lower statutory tax rates and
higher than anticipated in jurisdictions that have
higher statutory tax rates, by changes in the valuation of our deferred tax assets and liabilities, or by changes in tax laws, regulations, or accounting principles.
U.S. stock
futures pointed to a slightly
higher open, as investors prepped for another busy day of
earnings and economic data.
If you don't account for the fact that
higher future stock levels will suddenly reintroduce all of that dilution, your projected
earnings could be far off the mark.
U.S.
futures pointed to a slightly
higher open on Monday as investors looked ahead to a busy week for economic data and
earnings.
Even with that boost, the dividend accounts for just around 50 % of profits, which leaves plenty of room for
future increases as
earnings churn
higher in the coming decade.
Market participants are looking forward to getting their first major reading on
earnings from the biggest technology - sector players in the coming days, but for now, investor sentiment has been able to overcome what would ordinarily be a troubling rise in long - term bond yields that could signal a steeper move
higher for interest rates in the near
future.
Simply assuming a company can grow
earnings at
high rates into the
future, and then relying on a valuation based on those optimistic forecasts, exposes the investor to undue capital risk should those optimistic forecasts not be met.
Investors rationalize the
higher prices by assuming that double - and triple - digit growth will continue into the
future and
earnings will eventually catch up.
The
higher the
earnings momentum, the more likely investors will contribute for
future...
Lower rates boost the value of
future earnings when discounted into today's dollars, supporting
higher valuation multiples.
If it is
higher, can the company grow
earnings fast enough in the
future to justify the valuation?
If those assumptions disappoint and it becomes clear that profit margins will not be forever sustained at record
highs, it doesn't only imply near - term
earnings disappointments - it implies that the whole stream of
future earnings impounded into stock prices is wrong.
At the market's actual 2000 peak, valuations were so
high that even a
future price / peak
earnings ratio of 20 could have been expected to result in a nearly zero annualized returns over the following 10 years.
U.S. stock index
futures pointed to a slightly
higher open on Wednesday, as investors parsed through another batch of major
earnings.
Global stocks bumped
higher Tuesday, while Wall Street
futures suggested another positive open, as investors digested a mix set of economic readings from China and continued to focus on the U.S. corporate
earnings season.
«Elite athletes in
high - profile sports with obvious great
future earnings potential may see themselves as something apart from other student - athletes,» the NCAA report said.
«Attending US charter schools may lead to
higher earnings in the
future.»
When a 4 percent annual discount rate is applied for
future earnings, the lifetime value of college degree for some majors compared to a
high school degree turns out to be slightly negative.
Fashion sales up but
future looks gloomy (Times Online) «Sales of clothes, shoes and textiles were 9.5 per cent
higher than in April last year, the biggest annual rise since July last year... Analysts said that retailers would struggle to keep up the momentum as households faced sluggish
earnings growth and political uncertainty as well as tax rises and spending cuts.»
A teacher one standard deviation above the mean effectiveness annually generates marginal gains of over $ 400,000 in
future student
earnings, assuming a class size of 20, and proportionately
higher gains with larger class sizes.
Commentary on «Great Teaching: Measuring its effects on students»
future earnings» By Raj Chetty, John N. Friedman and Jonah E. Rockoff The new study by Raj Chetty, John Friedman, and Jonah Rockoff asks whether
high - value - added teachers (i.e., teachers who raise student test scores) also have positive longer - term impacts on students, as reflected in college attendance,
earnings, -LSB-...]
These findings suggest that the increase in students»
future earnings alone could justify
higher pay for
high quality teachers — which truly motivates the need to identify these miracle - working teachers.
Existing research, though not conclusive, indicates that math skills better predict
future earnings and other economic outcomes than other skills learned in
high school.
CHRISTINE ROMANS, HOST: A landmark new study from economists at Harvard and Columbia found that one good teacher can result in
higher earnings, a lower chance of getting pregnant young, and a better
future.
However, two careful, large - scale studies, reviewed in detail below, suggest that despite the lack of persistence of value - added on
future test scores, one year of experience with a
high - value - added teacher predicts
higher rates of college attendance and adult
earnings, as well as other important outcomes.
Below, we translate the measured impacts of the Chicago CPC program into estimates of how public investment in a universal,
high - quality, prekindergarten program would affect
future government finances, the economy,
earnings, and crime and health, using the attenuations described above for children from middle - and upper - income families, and for children who in its absence would have attended some other preschool.
Likewise, since the prospective prekindergarten program increases the
future earnings of participants and their guardians, states with
higher average pay and
higher tax burdens will experience greater revenue increases than will states with lower average pay and lower tax burdens.
Preschool and other early childhood interventions have
high benefit - cost ratios; for example,
high quality preschool has a ratio of increased
future earnings to cost of 5.3, that is increased
future earnings whose value is $ 5.30 for each dollar of investment.
High - quality summer school for children who are academically behind has an increased
future earnings to cost ratio of 9.0.
Apple is willing to cede market share and
future earnings potential from everyone outside the
high - end.
I'd rather find companies that are consistent, easy to analyze, are highly likely to have
higher earnings in the
future than they have today, and then buy those stocks at reasonable valuations.
The academic rebels, however, back up their
high dividend,
high earnings evidence with the argument that companies that pay
high dividends are generally confident in their ability to provide strong
earnings growth in the
future.
The first has to do with recent research that indicates that
high dividend payments lead to strong
future earnings.
In the introduction to their study, the authors state: «Our tests also show that
high - dividend - payout companies tend to experience strong, not weak,
future earnings growth.»
As you set your mix of stocks, bonds, and savings accounts to prepare for
future growth, keep in mind that your
high earnings will create positive cash flow which may dilute growth.
A
high ratio indicates that the market expects
future earnings to grow quicker than a company with a low P / E.