This is a very remarkable prophecy, explicitly predicting that the future King of Israel would be born in the little village of Bethlehem some 700 years before He finally came. Then, to assure its fulfillment, the great Emperor Augustus had to decree a comprehensive census, compelling Joseph to take Mary with him to Bethlehem for her child to be born.
That the prophecy involves an actual birth is clear, not only from the phrase "come forth," but also from the succeeding verse which warns that God will "give them up, until the time that she which travaileth hath brought forth" (v. 3). The preceding verse had also predicted that "they shall smite |this coming ruler| the judge of Israel with a rod upon the cheek" (v. 1), speaking of His initial rejection and execution.
But that is not all. The prophecy not only foresees His birth in Bethlehem, His repudiation by His own people, and His eventual installation as King over all Israel (not merely Judah), but also that this same remarkable person was none other than God Himself! His "goings forth" had been "from everlasting." That is, He is eternally proceeding forth from His Father. He did not become God’s Son when He was born in Bethlehem; He has been coming forth eternally.
There is still another truth implied in the remarkable Hebrew word for "goings forth." It is also used for such things as the flowing of water from a fountain or the radiations from the sun. Thus, the never-ending flowing forth of power from God through the Son is nothing less than the sustaining energy for the whole creation, as He is "upholding all things by the word of his power" (Hebrews 1:3). And this was the Babe in Bethlehem! HMM