𝗔𝗿𝗲 𝗲𝗾𝘂𝗶𝘁𝗶𝗲𝘀 𝗲𝗮𝗿𝗻𝗶𝗻𝗴 𝘁𝗵𝗲𝗶𝗿 𝘆𝗶𝗲𝗹𝗱𝘀 𝗰𝘂𝗿𝗿𝗲𝗻𝘁𝗹𝘆?
Attached you will find a long term Bloomberg graph showing a very important equities characteristic that usually has significant impact on their overall returns in the future – the Real Earnings Yield. This graph shows aggregate data for the $SPX500. What is Earnings Yield (EY)? 🤔 EY is calculated by dividing a stock’s EPS by…