Outperformance Point Formula

Fx Copy
LaTeX Copy
Outperformance Point refers to a level or threshold at which one investment or financial instrument surpasses or outperforms another in terms of returns or performance. Check FAQs
OP=(SP)(ERE+1)-DD
OP - Outperformance Point?SP - Share Price?ERE - Expected Return Until Expiration?DD - Dividend?

Outperformance Point Example

With values
With units
Only example

Here is how the Outperformance Point equation looks like with Values.

Here is how the Outperformance Point equation looks like with Units.

Here is how the Outperformance Point equation looks like.

19.25Edit=(1.5Edit)(48.5Edit+1)-55Edit
You are here -
HomeIcon Home » Category Financial » Category Banking » fx Outperformance Point

Outperformance Point Solution

Follow our step by step solution on how to calculate Outperformance Point?

FIRST Step Consider the formula
OP=(SP)(ERE+1)-DD
Next Step Substitute values of Variables
OP=(1.5)(48.5+1)-55
Next Step Prepare to Evaluate
OP=(1.5)(48.5+1)-55
LAST Step Evaluate
OP=19.25

Outperformance Point Formula Elements

Variables
Outperformance Point
Outperformance Point refers to a level or threshold at which one investment or financial instrument surpasses or outperforms another in terms of returns or performance.
Symbol: OP
Measurement: NAUnit: Unitless
Note: Value should be greater than 0.
Share Price
Share Price refers to the current market price at which a single share of a company's stock is being traded on a stock exchange.
Symbol: SP
Measurement: NAUnit: Unitless
Note: Value should be greater than 0.
Expected Return Until Expiration
Expected Return Until Expiration refers to the anticipated average rate of return that an investor expects to receive from holding an investment until its expiration date.
Symbol: ERE
Measurement: NAUnit: Unitless
Note: Value should be greater than 0.
Dividend
Dividend is a distribution of a portion of a company's earnings to its shareholders, typically in the form of cash or additional shares of stock.
Symbol: DD
Measurement: NAUnit: Unitless
Note: Value should be greater than 0.

Other formulas in Banking category

​Go Interest Charges Per Quarter
ICQ=(Cr)KIR+1400
​Go Interest Earnings Per Quarter
IEQ=ACBKIR-2400
​Go Commercial Interest
CInt=DsAIRPD100360
​Go Annual Interest Rate with Discount
AIRD=CDA360(IA-CDA)(TP-CDP)

How to Evaluate Outperformance Point?

Outperformance Point evaluator uses Outperformance Point = (Share Price)*(Expected Return Until Expiration+1)-Dividend to evaluate the Outperformance Point, Outperformance Point represents the ideal interval between orders that minimizes total inventory costs while ensuring that the business can meet customer demand effectively. Outperformance Point is denoted by OP symbol.

How to evaluate Outperformance Point using this online evaluator? To use this online evaluator for Outperformance Point, enter Share Price (SP), Expected Return Until Expiration (ERE) & Dividend (DD) and hit the calculate button.

FAQs on Outperformance Point

What is the formula to find Outperformance Point?
The formula of Outperformance Point is expressed as Outperformance Point = (Share Price)*(Expected Return Until Expiration+1)-Dividend. Here is an example- 19.25 = (1.5)*(48.5+1)-55.
How to calculate Outperformance Point?
With Share Price (SP), Expected Return Until Expiration (ERE) & Dividend (DD) we can find Outperformance Point using the formula - Outperformance Point = (Share Price)*(Expected Return Until Expiration+1)-Dividend.
Copied!