In this course you will learn the basics of forecasting the return for the overall investment market, an economic sector, and a specific stock.
A market forecast is a core component of a market analysis. It projects the future numbers, characteristics, and trends of the specific market. Learn the steps necessary to follow to develop a market forecast, how to break this down into sector forecasts, and how to incorporate both of these to estimate the future price and return of the stock of a specific company.
The success of a market forecast depends critically on a thorough understanding of accounting principles. For example, if you can accurately predict a stock’s future Price/Earnings (P/E) ratio and its Earnings Per Share (EPS), you will be in a better position to calculate its future price. Since the equity market is an aggregation of the performance of many stocks and economic sectors, it is important to have the skill set for stock price forecasting. Having an expectation of how the stock market might perform is important in giving you a base for making investment decisions today.
Real company examples are provided using case studies.
