Analyst's Toolkit: Bristol-Myers Measures Up

Analyst's Toolkit is a weekly feature that assesses stocks, bonds and funds by using measures that can give different perspectives on valuation. Come back every Wednesday for fresh insights into analyzing securities.

Investors ideally ought to pick stocks that will rise faster than others and the market as a whole.

Incredibly, some investors buy shares of companies with no growth at all. And others find it hard to determine growth prospects in the first place. What's more, expectations of future growth make the task even more difficult.

To do so, many investors focus on earnings growth or return on equity. While important, those factors are backward looking. A method known as sustainable growth can help provide insight into future growth. ...