Question
Given the information below for HooYah! Corporation, compute the expected share price at the end of 2020 using price ratio analysis. Assume that the historical
Given the information below for HooYah! Corporation, compute the expected share price at the end of 2020 using price ratio analysis. Assume that the historical (arithmetic) average growth rates will remain the same for 2020. (Do not round intermediate calculations. Round your answers to 2 decimal places. Exclude negative annual PE and P/CFPS ratios from the average PE and average P/CFPS ratio calculations. When computing annual growth rates, use a positive sign on the annual rate of change if the per-share value increased in value and use a negative sign on the annual rate of change if the per-share value deceased in value.)
Year | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 |
Price | $9.00 | $45.50 | $117.000 | $194.00 | $84.00 | $14.40 |
EPS | -5.00 | -4.29 | -1.50 | -.53 | .05 | .06 |
CFPS | -10.00 | -7.50 | -2.50 | -.20 | .08 | .08 |
SPS | 6.00 | 14.50 | 18.60 | 22.10 | 25.60 | 22.95 |
Using PE ratio:
Using P/CF ratio:
Using P/S ratio:
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