Given the information below for Seger 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.) Year Price EPS CFPS SPS 2014 2015 2016 $65.90 $71.80 $70.50 2.75 3.46 4.26 8.07 8.88 9.19 42.30 47.30 46.70 Using PE ratio Using P/CF ratio Using P/S ratio $ $ $ Share Price 2018 $ 89.50 4.96 7.80 10.92 12.28 50.20 61.40 2017 $68.00 216.45 10.45 1.77 2019 $104.90 8.80 13.42 69.40

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Given the information below for Seger 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.)
Year
Price
EPS
CFPS
SPS
2014
$65.90
2.75
8.07
42.30
Using PE ratio
Using P/CF ratio
Using P/S ratio
2015
$71.80
3.46
8.88
47.30
$
$
$
2016
$70.50
4.26
9.19
46.70
Share Price
2017 2018
$68.00 $89.50
4.96
10.92
50.20
216.45
10.45
1.77
7.80
12.28
61.40
2019
$104.90
8.80
13.42
69.40
Transcribed Image Text:Given the information below for Seger 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.) Year Price EPS CFPS SPS 2014 $65.90 2.75 8.07 42.30 Using PE ratio Using P/CF ratio Using P/S ratio 2015 $71.80 3.46 8.88 47.30 $ $ $ 2016 $70.50 4.26 9.19 46.70 Share Price 2017 2018 $68.00 $89.50 4.96 10.92 50.20 216.45 10.45 1.77 7.80 12.28 61.40 2019 $104.90 8.80 13.42 69.40
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