Sentences with phrase «stock valuation indicator»

For example, market capitalization to GDP is a long - term stock valuation indicator with a high correlation (0.89) to subsequent 10 - year returns.

P / S ratio is another stock valuation indicator similar to the P / E ratio.

Not exact matches

Stocks can see their PE multiples expand and contract in a manner that has almost nothing to do with changes in EPS, which makes looking at these metrics a poor indicator of valuation or future returns.

Given the absence of a public trading market of our common stock, and in accordance with the American Institute of Certified Public Accountants Accounting and Valuation Guide, Valuation of Privately - Held Company Equity Securities Issued as Compensation, our board of directors exercised reasonable judgment and considered numerous and subjective factors to determine the best estimate of fair value of our common stock, including independent third - party valuations of our common stock; the prices at which we sold shares of our convertible preferred stock to outside investors in arms - length transactions; the rights, preferences, and privileges of our convertible preferred stock relative to those of our common stock; our operating results, financial position, and capital resources; current business conditions and projections; the lack of marketability of our common stock; the hiring of key personnel and the experience of our management; the introduction of new products; our stage of development and material risks related to our business; the fact that the option grants involve illiquid securities in a private company; the likelihood of achieving a liquidity event, such as an initial public offering or a sale of our company given the prevailing market conditions and the nature and history of our business; industry trends and competitive environment; trends in consumer spending, including consumer confidence; and overall economic indicators, including gross domestic product, employment, inflation and interest rates, and the general economic outlook.

On the other hand, we think the worst stocks will be shunned by most investment disciplines and display expensive valuations, poor technicals and deteriorating momentum indicators.

As usual, I don't place too much emphasis on this sort of forecast, but to the extent that I make any comments at all about the outlook for 2006, the bottom line is this: 1) we can't rule out modest potential for stock appreciation, which would require the maintenance or expansion of already high price / peak earnings multiples; 2) we also should recognize an uncomfortably large potential for market losses, particularly given that the current bull market has now outlived the median and average bull, yet at higher valuations than most bulls have achieved, a flat yield curve with rising interest rate pressures, an extended period of internal divergence as measured by breadth and other market action, and complacency at best and excessive bullishness at worst, as measured by various sentiment indicators; 3) there is a moderate but still not compelling risk of an oncoming recession, which would become more of a factor if we observe a substantial widening of credit spreads and weakness in the ISM Purchasing Managers Index in the months ahead, and; 4) there remains substantial potential for U.S. dollar weakness coupled with «unexpectedly» persistent inflation pressures, particularly if we do observe economic weakness.

Estimating future surplus starts with current metrics like earnings or cash flow, so using the most recent financial information against the market valuation is a good indicator of the relative cheapness of a stock.

Because Facebook's common stock is stripped of many of the preferences that the stock of investors like DST or Microsoft has, the valuation for the common stock will be the best indicator of the company's true worth at that point in time.

Valuations should not be one of the indicators as valuations of momentum stocks are rarely aValuations should not be one of the indicators as valuations of momentum stocks are rarely avaluations of momentum stocks are rarely attractive.

Years of artificially low interest rates have led to artificially high stock prices with valuation indicators, such as PE, PB and Shiller's CAPE, flashing red for some time now.

They discussed the current state of the U.S. stock market, valuations and market sentiment, recent economic indicators and expectations for the remainder of the year.

First Cut Combining Value and Momentum Low relative valuation ratios are combined with momentum indicators to find potentially winning stocks.

Low relative valuation ratios are combined with momentum indicators to find potentially winning stocks.

As of last week, the Market Climate in stocks was characterized by a combination of rich valuations, unfavorable market action, continued negative economic pressures on forward - looking indicators, and additional indicators (sentiment, credit spreads, etc) associated with a poor average return / risk profile in stocks.

The Paradox of the Zero Bound Subpar Economic Recovery Gets Premium Market Valuation Wall Street Earnings Expectations Ignore Economic Divergences The Great Divergence An Update on International Market Valuations Business Cycles, Election Cycles, and Potential Risks An Update on Valuations and Forward Earnings Assumptions Bond Yields, Earnings Yields, and Inflation A View from the NBER Recession Indicators Three Observations on Third Quarter Earnings Forward Looking Measures Still Don't Provide Evidence for a V - Shaped Recovery This Earnings Season, Watch Sales Forward Earnings Imply a Return to Near - Record Profit Margins Without Phoenix Stocks, Volume Continues to Contract Is the Job Market Ready for a Recovery?

Also, for the purposes of tracking, a 6 - 12 mth old valuation will almost always still be a perfectly adequate indicator of value (but I recommend you thoroughly update your valuation on any stock before actually pulling the buy / sell trigger).

SMI has written extensively about how today's market valuation indicators clearly show that stocks are very expensive by historical standards.

Although the financials sector has experienced significant volatility in the first quarter of 2018, the sector's combination of attractive valuation and earnings strength is a positive indicator for these stocks and could be supportive for diversified value strategies in coming quarters.

It looks at a company's performance in the marketplace as a basis of stock valuation rather than technical indicators pertaining to a stock.