Given the information below for Seger Corporation, compute the expected share price at the end of 2022
Question:
Given the information below for Seger Corporation, compute the expected share price at the end of 2022 using price ratio analysis. Assume that the historical (arithmetic) average growth rates will remain the same for 2022.
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Year Price EPS CFPS SPS 2016 $94.50 4.34 7.27 52.60 2017 $100.40 5.05 8.24 58.52 2018 $99.10 5.22 8.71 57.90 2019 $97.90 6.06 10.12 60.69 2020 $121.50 7.00 11.80 71.60 2021 $136.80 8.00 13.10 78.70
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PE ratio values are 2177 1988 1898 1616 1736 1710 average 1854 ...View the full answer
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