Earnings momentum

Earnings momentum

An increase in the earnings per share growth rate from one reporting period to the next.

Earnings Momentum

Year-on-year growth in earnings per share, usually sustained over a number of years. There does not need to be a particular pattern to the rate of growth in different years; all that is needed is for growth to be sustained. High earnings momentum often leads to increases in share price as investors tend to believe companies with earnings momentum have achieved relatively sustainable growth. Negative earnings momentum is also possible, with steady, year-on-year decreases in growth.

earnings momentum

The increase of earnings per share at an increasing rate. For example, a company is said to have earnings momentum if its reported earnings per share increases 10%, 15%, and 25% in successive years.

Earnings momentum.

When a company's earnings per share grow from year to year at an ever-increasing rate, that pattern is described as earnings momentum. One example might be a company whose earnings grow one year at 10%, the next year at 18%, and a third year at 25%.

In many cases, this momentum triggers an increase in the stock's share price as well, because investors identify the stock as one they expect to continue to grow and increase in value.

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Dubai: GCC equity markets are looking increasingly attractive after the broad-based sell off since the summer and these markets represent a buying opportunity, particularly with appealing stock valuations and stronger earnings momentum, according to Bank of America Merrill Lynch.
F s is received Earnings Growth, Earnings Momentum, and Earnings Revisions by stock including Cash Flow and Margin Growth.
Although stock performance has been disappointing," Roger says, "cost savings opportunities should boost earnings momentum in 2001.
Internet companies are prime examples of the companies an earnings momentum fund manager might buy.
Over the past six months, ``we've lost the earnings momentum that could drive stocks higher, so as a result, we're much more dependent on other factors, like lower interest rates,'' she said.
Driving the QSG Edge is the firm's research coverage of more than 10,000 securities around the globe, covering a full spectrum of equity strategies including earnings momentum, deep value, price momentum, relative value, historical growth and GARP.
He cites so-called cross-selling opportunities among customers in Citigroup's various units as an important pillar supporting the stock's earnings momentum.
They finally have some earnings momentum,'' said Jay Silverman, a BancBoston Robertson Stephens analyst with a ``buy'' recommendation on Amgen shares.
Although the stock will remain volatile (as expected), valuation is still attractive on a historical basis and earnings momentum is improving.
We are declining in terms of earnings momentum, which is not surprising given the slowdown in overall economic activity and my belief that the best of the cost breaks are behind us," said Stephen S.
The Positive Outlook for the holding company reflects Fitch view that given continued earnings momentum, the ability to upstream dividends from the bank without regulatory approval would further improve the parent company's ability to meet its financial obligations and ASRV's overall financial profile.
Although the perception of stocks listed on the OTC may tend to be viewed somewhat negatively, it is our opinion that the strengthening of strategic customer relationships by PGWC and the company's continuing merger integration activities will enhance sales and earnings momentum.