Earnings Growth Model

Earnings Growth Model estimates annual expected returns by analyzing earnings growth, shareholder yield and change in valuation multiples.

What is the Earnings Growth Model?

The Earnings Growth Model estimates expected annual returns based on projected earnings growth, valuations multiples and shareholder yield.

Why is earnings growth considered a crucial metric?

Earnings growth indicates a company's financial health and profitability, helping investors assess performance. Higher earnings growth typically suggests better operational success.

Intrinsic value tools hub

Wondering how to calculate intrinsic value of a stock? Use our intrinsic value tools to simplify complex valuation concepts and save time.