OOps, sorry, I didn't calculate the PEG correctly. I was so focused on top line that I took .5 of % revenue growth , which will probably be what the market does in the short term, since this is an emerging earnings story. The Earnings growth would be 170%, so .5 of that would be .85, so .27 EPS X .85 X 100 = a $23 stock, if all goes well. By the way, if anyone has knowledge of different numbers than the ones I used, please let me know.
Also, by the way, I assigned a very rich PE to this stock solely based on growth. If you apply a PE of 20 instead of mine based on Price/Earnings Growth, you would get a range of $5.40-$9.4. So will this stock take on the PE of the industry, or a PE based on its own growth chart? |