Calculating
Compound Annual Return
Let your Stock Selection Guide (SSG)
Vis l Analysis
Visual
An l sis Sh
Sheett D
Do It F
For You
Y
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The Numbers
•
•
•
•
Current Price of the Stock is $25
In 5 years is Forecast to be $72
Di id 72 b
Divide
by 25 tto gett 2
2.88
88
Turn to your Visual Analysis sheet
– It is the first page of your SSG
BetterInvesting Space Coast Chapter - NAICspace.org
72 / 25 = 2.88, 5 years
Draw a line out 5 years
y
BetterInvesting Space Coast Chapter - NAICspace.org
72 / 25 = 2.88, 5 years
Draw a line out 5 years
y
Draw a line up to 2.88
BetterInvesting Space Coast Chapter - NAICspace.org
72 / 25 = 2.88, 5 years
Draw a line out 5 years
y
Draw a line up to 2.88
Draw a line from the origin
through
h
h the
h end
d of
f the
h
second line to the right margin
BetterInvesting Space Coast Chapter - NAICspace.org
72 / 25 = 2.88, 5 years
Draw a line out 5 years
y
Draw a line up to 2.88
Draw a line from the origin
through
h
h the
h end
d of
f the
h
second line to the right margin
CAR is approximately 23
23.5%
5%
BetterInvesting Space Coast Chapter - NAICspace.org
23%
72 / 25 = 2.88, 5 years
Draw a line out 5 years
y
Draw a line up to 2.88
Draw a line from the origin
through
h
h the
h end
d of
f the
h
second line to the right margin
CAR is approximately 23
23.5%
5%
Before you forget
y this with your
y
try
own numbers!
BetterInvesting Space Coast Chapter - NAICspace.org
23%