Table 6.2 contains information about Southwest Airlines (LUV). Calculate expected share prices using each of the three
Question:
Table 6.2 contains information about Southwest Airlines (LUV). Calculate expected share prices using each of the three price ratio approaches.
Table 6.2
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Price Ratio Analysis for Southwest Airlines (LUV); Early 2022 Stock Price: $44.59 Five-year average price ratio Current value per share Growth rate Expected stock price Earnings 20.05 (PE) $1.61 (EPS) 56.4% $50.49 Cash Flow 13.91 (P/CF) $2.54 (CFPS) 6.0% $37.45 Sales 1.85 (P/S) $21.96 (SPS) 9.4% $44.44
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Related Book For
Fundamentals Of Investments Valuation And Management
ISBN: 9781266824012
10th Edition
Authors: Bradford Jordan, Thomas Miller, Steve Dolvin
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