How do STRET and TARG work together when buying a share?
Consider a stock with a current price of $10 and suppose that in the Scenario Analysis page STRET gives an estimated return of $12%. (The STRET calculations are at the bottom of the page on the left hand side of the Scenario Analysis.) If you decide that you want a return of 15% before buying t ...
- What is the purpose of the Scenario Analysis?
The Scenario Analysis is also called the What-If Analysis. It enables an investor to answer questions such as, "What if the growth in earnings over the next 5 years is only half what it was over the past years? What will be my future return in this case?" Or, "What if the PE ratio drops to its ...
- What is the relationship between HGROWTH and STAEGR?
Putting it simply, HGROWTH measures how rapidly sales or earnings are growing while STAEGR measures how smoothly this growth is taking place. STAEGR is always a number between 0 percent and 100 percent while HGROWTH can take any value (although usually it is between - 30 percent and +30 percent ...
- How do I know if the price will drop to my target price?
Once you have set a target price for a quality stock then, of course, there is no guarantee that the price will drop to that price. Just the same, there is a much bigger yearly variation in prices than most people realize. The average range between the low price and the high price for the large ...
- When should I change the earnings per share in the Scenario Analysis?
In the Scenario Analysis, Conscious Investor automatically enters the Earnings per Share EPS for the past twelve months. This is called EPSttm: earnings per share trailing twelve months. In the USA and Canada, this means adding the quarterly EPS for the most recent four quarters. In Australia, ...
- How do STRET and TARG work together when selling a share?
Suppose that you own a stock and it has a current price of $10. Suppose also that in the Scenario Analysis page STRET gives an estimated return of 12%. If you decide that you want to sell the stock when the forecast for the return drops to 10%, then enter 10% in the TARG calculations. The outco ...
