Question
You have found the following historical information for the Daniela Company: year 1 year 2 year 3 year 4 stock price $46.48 $61.43 $65.39 $63.59
You have found the following historical information for the Daniela Company:
| year 1 | year 2 | year 3 | year 4 | |
| stock price | $46.48 | $61.43 | $65.39 | $63.59 |
| EPS | 2.47 | 2.53 | 2.70 | 2.69 |
Earnings are expected to grow at 8 percent for the next year. Using the company's historical average PE as a benchmark, what is the target stock price in one year?
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All About Options
Authors: Thomas McCafferty
3rd Edition
0071484795, 978-0071484794
