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To: Meathead who wrote (43166)5/19/1998 10:28:00 AM
From: Moominoid  Read Replies (4) | Respond to of 176387
 
My fundamental analysis:

Beta 1.93
EPS 1998 1.86
EPS 1999 2.39

Assumed
Profit Growth Rates:

1998-99 0.28494624
1999-2000 0.20118905
2000-2001 0.14205148
2001-2002 0.10029682
2002-2003 0.07081554
2003-2004 0.05

The assumption is that all companies revert to a 5% growth rate by 2003-2004. It doesn't make much difference if you choose somewhat higher rates.

Estimated current equilibrium share price using CAPM and above assumptions:

$23


David Stern
aka Koala Bear