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For the Analyst: Peer Benchmarking Methods to Improve Earnings Forecasts

CFA Institute

Peer benchmarking is a vexing task for financial analysts but one that is critical for forecasting earnings. This straightforward measure can help find peers for relative performance, compensation, and valuation benchmarking.

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Escaping the Benchmark Trap: A Guide for Smarter Investing

CFA Institute

He specializes in low-volatility investing, asset pricing, and quantitative finance and is the author of numerous academic research papers for the Journal of Financial Economics , Management Science , Financial Analyst Journal , and the Journal of Portfolio Management.

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Return on Equity Formula and Use Cases

The Finance Weekly

Comparing Companies Potential investors often use ROE to benchmark companies within the same industry. Understanding and using ROE can provide valuable insights into a companys financial efficiency and profitability. A higher ROE signals that a company is better at managing its equity to generate profits.

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What is Long Range Planning and How Can it Help Your Growth?

The Finance Weekly

To reach that objective, the company's development team might set an operational benchmark of developing a prototype of the platform for beta testing within six months. A common pitfall of traditional LRP is the reliance on manual modeling in custom Excel spreadsheets—a frustration any financial analyst knows all too well.

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Preparing Your Finance Organization for the New Era of AI

CFO Leadership

The latter, for example, is an offering that Bloomberg says can “ bring the full potential of AI to the financial domain ” and create entirely new workflows, economic analyses and financial benchmarks for its customers.

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What is Long Range Planning and How Can it Help Your Growth?

The Finance Weekly

To reach that objective, the company's development team might set an operational benchmark of developing a prototype of the platform for beta testing within six months. A common pitfall of traditional LRP is the reliance on manual modeling in custom Excel spreadsheets—a frustration any financial analyst knows all too well.

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Key Factors Influencing Business Valuation

CFO Share

By assessing metrics such as Price-to-Earnings (P/E) ratios, revenue multiples, or other industry-specific benchmarks, one can derive a business value relative to its peers. Financial analysts can help you understand why differences in valuations may exist.