Glossary - PAR
The purpose of this glossary is to provide definitions — and links for further exploration — of topics and terminology that may be somewhat unique to Manifest Investing. We don’t try and include every financial term known to man although a few are included here because they’re at the “core” of what we do and use. If you’re searching for a definition and don’t find it here, we’d encourage you to try Investopedia.com or InvestorWords.com . If you see a word or phrase commonly used at Manifest Investing and you feel that it should be included here, please send your suggestion to manifest@manifestinvesting.com
PAR: (Projected Annual Return) PAR is the sum of the forecast price appreciation (annualized) and the projected dividend yield. Price appreciation is, quite simply, the annualized change between the current price and a projected price. (We ALWAYS use five years as the time horizon.) The future price is projected based on current sales, a sales growth forecast, projected net margins and average P/E ratios.