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If you look at stock prices over any year, you will find a high and low stock price for the year. Instead of a single

If you look at stock prices over any year, you will find a high and low stock price for the year. Instead of a single benchmark PE ratio, we now have a high and low PE ratio for each year. We can use these ratios to calculate a high and a low stock price for the next year. Suppose we have the following information on a particular company: Year 1 Year 2 Year 3 Year 4 High price $85.61 $94.99 $116.05 $128.08 Low price 68.33 79.75 84.23 105.86 EPS 6.46 8.88 8.54 10.13 Earnings are expected to grow at 5.5 percent for the next year. Required: What is the high target stock price in one year? (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).) High target price $ What is the low target stock price in one year?

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