How To Forecast Future Stock Prices . . . Usually Wall Street research can be extraordinarily useful in helping to gain a better understanding of the inner workings of companies. Having been on the research side of the investment world for many years, I've had extensive experience in exploring the nuts and bolts of dozens of companies, both through analysis of numerous financial reports and regular contact with corporate executives. Some of it was useful; some was not. In all cases, the goal was to come up with estimates of where company earnings were likely to be in the year ahead and the years beyond. As analysts, we looked for consistency of progress and the potential to grow at above average rates. The task of coming up with these kinds of conclusions was a matter of translating discussions of ongoing operations and developments into numbers that made sense. Once that was done, we viewed the current analysis against the backdrop of the past. The range of p
Investment and economic observations by N. Russell Wayne, CFP, MBA. Mr. Wayne is the president of Sound Asset Management, inc. and former Managing Editor of The Value Line Investment Survey.