Friday, February 15, 2013

Expected P/E is better indicator than past P/E

From AAII screens.


Accumulative return from 1998 to 2009.

Screen of Value on the move -PEG with Est. Growth = 710.
Screen of Value on the move - PEG with Hist Growth = 328.

So, the Est beats the History by 100% if you assume PEG and P/E are corresponding in this comparison.

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