Question
Oomingmak Company had earnings last year of $6.35 a share and these is expected to grow at 7% for the next 5 years. The average
Oomingmak Company had earnings last year of $6.35 a share and these is expected to grow at 7% for the next 5 years. The average PE for the industry is 12.5. Using this information, Oomingmak's stock price in five years is estimated to be:
A. $84.93.
B. $111.33.
C. $115.45.
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Analysis for Financial Management
Authors: Robert C. Higgins
12th edition
1259918963, 9781260140729 , 978-1259918964
