# How to Calculate Future Growth

You can calculate the future growth of a stock by comparing past and future values.

By knowing a starting and ending value, you can calculate the future growth of an investment, population or any variable figure. The figure is usually quoted as a percentage, which allows easy comparison to values of a dissimilar scale. You might wish to know the growth rate of a population given present and historical data. Or maybe you wish to calculate the growth of a stock based on present earnings per share (EPS) and those estimated for a future quarter. Whatever the subject matter, the calculation remains the same.

## Step 1

Reference the necessary data. All you need are figures from two time frames to perform the calculation. As an example, suppose you wanted to calculate the future growth of a stock. This quarter's EPS is \$0.50, and you have heard rumors that the expected EPS for the next quarter will be \$0.80.

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## Step 2

Use the formula:

Growth = [(Future Value - Current Value) / Current Value] x 100