PLAY PODCASTS
Desconstructing Stock Price - Earnings Multiple Expansion vs Earnings Expansion - Valuation Metrics
Episode 147

Desconstructing Stock Price - Earnings Multiple Expansion vs Earnings Expansion - Valuation Metrics

Broken Pie Chart · Broken Pie Chart

December 19, 202128m 35s

Audio is streamed directly from the publisher (traffic.libsyn.com) as published in their RSS feed. Play Podcasts does not host this file. Rights-holders can request removal through the copyright & takedown page.

Show Notes

Derek Moore responds to market pundits making 2022 predictions where they examine whether stock prices will see moves diven by changes in earnings vs PE multiples expanding. Also covered will be effect share buybacks have on earnings per share EPS. Then he compares Amazon and Apple forward multiples and share counts.

PE Ratio

EPS Earnings per share

Calculate Market Cap

Multiple expansion versus earnings expansion

Forward PE vs PE Ratio

S&P 500 2021 price driven by earnings expansion while multiples contracted

Amazon AMZN comparing 2020 earnings to 2005 price along with share counts

Apple has seen a 37% reduction in shares outstanding due to buybacks over 10 years

Mentioned in this Episode:

Contact Derek Moore [email protected]

Derek Moore's Book Broken Pie Chart https://www.amazon.com/Broken-Pie-Chart-Investment-Portfolio/dp/1787435547?ref_=nav_signin&