Sentences with phrase «valuation than growth»

Additionally, high or attractive total return potential on a few of them is primarily more a function of current low valuation than growth.

While value stocks, by definition, will trade at a lower valuation than growth stocks, the valuation spread moves over time.

While value stocks, by definition, will trade at a lower valuation than growth stocks, the valuation spread moves over time.

Not exact matches

To justify its relatively high valuation and fend off concerns about slowing user growth, Snap has emphasized how important Snapchat is to its users, how long they spend on the app and the revenue potential of the emerging trend for young people to communicate with video rather than text.

Asia and Latin America are not risk - free, but «there seems to be sense in buying equities in these regions on similar or lower valuations than their counterparts in the developed world given that dividend growth is likely to be superior, given higher economic growth potential.»

Less than two years ago, the company was riding high, experiencing explosive growth, but things peaked in the summer of 2013, when it raised $ 150 million in funding at a valuation of $ 1 billion.

Discipline refers to the rigorous quantitative and qualitative methodologies used in the identification and selection of companies that have: better than average relative valuations; a track record of dividend growth and a sustainable payout level; and balance sheet strength.

In any event, the problem for investors is that whatever increment we could possibly observe in GDP growth pales in comparison to the fact that the most historically reliable market valuation measures are far more than double their historical norms.

Even if the growth rates of nominal GDP and U.S. corporate revenues (including foreign revenues) over the coming 20 years match their 4 % growth rate of the past 20 years, and even if the most reliable valuation measures merely touch their historical norms 20 years from today, the S&P 500 Index two decades from now will trade more than 20 % lower than where it trades today.

A stock's PEG ratio — its price - to - earnings ratio divided by the growth rate of its earnings — often is considered a more complete assessment of a company's current valuation than a P / E ratio because it takes earnings growth into account.

We attribute this phenomenon to young companies growing revenues earlier than before; with revenue growth rates outpacing valuation growth rates.

We think they're attractive because they have faster rising earnings, higher dividend yields and lower valuations than U.S. stocks, and they can benefit as global growth accelerates.

Rather than valuations or the dollar, the best case for EM equities ties back to global growth.

The average member of this group should grow by about 11 %, far lower than the most expensive stocks» 20 % growth rate, but at less than half the valuation.

Significant valuation increases usually occur in discreet steps rather than through smooth linear growth.

In nearly all cases, if a growth company is still around ten years later, it will almost certainly be worth much, much more than today — regardless of current valuation.

For most investors, these clauses buried deep inside offering prospectuses matter less than growth prospects, valuations or burn rates.

Visa's valuation should be seen as a reflection of both healthy growth and strong returns, while PayPal's is driven more by growth potential than by profitability.

We consider the starting point valuation of value stocks (or any style factor, for that matter) to be a far more accurate predictor of future returns than the outlook for economic growth.

We have found price - to - sales to be a useful valuation metric within the retail industry, and given Amazon's growth comes largely at the expense of traditional retailers, we believed Amazon should be priced at a higher ratio of sales than its competition.

We see market returns being driven by earnings growth, dividends and coupons, rather than rising valuations.

To those who would find such conceptual wavering unlikely; Ford's answer is that Whitehead never actually abandoned the concept of God as formative element in Religion in the Making, the fourth and last part of that book, where Whitehead writes about God as the conceptual valuation of the realm of ideal forms, is nothing else than the result of «a theistic projection based on the revelation of Western religions» («Growth» 11).

By pretty much all measures, it offers access to higher growth rates at lower valuations than the average European stock fund does.

Although the economic growth outlook remains healthy, the valuation backdrop in many sectors is far less compelling than it has been in years.

In Dividend Growth Investing Lesson 11: Valuation, we learned that overvaluation means that a stock is selling for more than it is worth.

We consider the starting point valuation of value stocks (or any style factor, for that matter) to be a far more accurate predictor of future returns than the outlook for economic growth.

Some sectors are much more promising than others both because of potential earnings growth and current valuation.

The valuation is higher than most industrial stocks because of a better growth outlook, not operating performance.

Rather than rely on past averages to forecast future returns, we use a building - block approach that adds current yield, likely long - term growth in income, and some mean reversion in valuation multiples to create forward - looking returns.

When you find companies growing at a rate greater than 13 %, and you conclude that there is a high likelihood of that growth continuing, a high valuation does not become a drag until you start paying over 35 - 40x earnings or so.

For instance, the blue dot on the value factor scatterplot suggests that prior to March 2016 the valuation level of 0.14 — meaning the value portfolio was 14 % as expensive as the growth portfolio measured by price - to - book ratio, and lower than the historical norm of 21 % relative valuation — would have delivered an average annualized alpha of 8.1 % over the next five years.

Had Shiller published his research showing that valuations affect long - term returns in 1971 rather than in 1981, the name of the book would have been «A Valuation - Informed Walk Down Wall Street» and we would today be living in the greatest period of economic growth in U.S. history.

The next reason I find this interesting is because the valuation standard for a high - growth stock like Starbucks is somewhat different than a low or average grower like we saw previously.

ROGS seeks to track an index that is designed to provide the growth potential of small - capitalization stocks with significantly better valuations and less volatility than passive capitalization - weighted indexes.

I anticipated that favorites like iShares S&P 100 (OEF) and Vanguard Mega-Cap Growth (MGK) would fare better than the Russell 2000 based on relative valuation, macro-economic weakness and latter - stage bull market allocation shifts.

At current levels of the market, the yield of these bonds more than compensates for the possibility of capital growth in equities (valuations are stretched)

The unexpected happens regularly as growth stocks go higher than anyone believed possible but the early buyers and bear markets go deeper than anyone thought possible because of fear of loss begins overriding any fundamental valuation.

However, future growth does not necessarily need to equal past growth, and most importantly, current valuation should be given a higher weighting based on forecast growth than on historical growth.

DIS sports much higher dividend growth (as I pointed out in the article and valuation analysis) than many other stocks with higher yields.

In The growth illusion, an article appearing in the most recent Buttonwood's notebook column of The Economist, Buttonwood argues that valuation, rather than economic growth, determines invest...

But rather than avoid the US, or agonise over the timing of a potential buy, I think it presents the ideal opportunity to slowly but surely average into high quality US growth stocks which have already (and / or perhaps will still) suffer a temporary share price / valuation setback.

In short, depending on the time span, nearly one - third to one - half of the long - term return on stocks comes from sources other than dividend yield, such as inflation, growth in dividends, and changes in valuation levels.

EM earnings growth is 20 % year - on - year, and with positive earnings momentum and lower valuations than U.S. and European developed markets, some analysts are bullish.

In order to pass the AAII MAGNET Simple screen, a company's current valuation (price - earnings ratio) can not be more than 50 % of its estimated annualized growth rate in earnings for the next three to five years.

I'll admit they do appear to have upped their game & growth potential more recently... but obviously you're more than paying for that in the current share price & valuation (vs. the sub-40 cent levels I enjoyed)!

Which is not to imply I'm suddenly turning pessimistic here — ultimately, I still won't be surprised to see any lowering of long - term earnings growth expectations more than offset by falling discount rates & escalating valuations (particularly for a new global Nifty Fifty).

A high, or low, growth company can be awarded a correspondingly high / low P / E for much longer than you might expect, even if another approach flags up a v different valuation.

Everywhere I look, I see better growth, better demographics, better government finances, lower debt and no currency debasement... And all this for stock market valuations that are similar to / cheaper than Western markets.

While that's not a terrible expected return, it's also far lower than this high - quality small cap dividend growth stock can return and has in the past, when purchased at more attractive valuations.

FB is a wonderful wide - moat business, but a choppy growth trajectory will likely send shares lower at some point, offering investors an entry point at a much more attractive valuation than they'll get today, says Morningstar analyst Rick Summer.