Based on the following regression whose output estimates the forward P E ratio for the media industry, estimate the price for CanWest if it just announced earnings of $2 75 per share and has the following known characteristics Beta 1 3, Payout 0 55, Earnings Growth 0 07 Regression Statistics Multiple R 0 534936 R Square 0 286157 Adjusted R Square 0 195028 Standard Error 0 038288 Observations 54 Coefficients Standard Error t Stat P value Intercept 14 23657 2 41333 5 89914 0 000062 Beta 0 10747 0 136177 0 78923 0 433942 Payout 0 61999 0 274706 2 25693 0 028702 Earnings Growth 5 12223 2 45351 2 087717 0 04227

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Question: Based on the following regression whose output estimates the forward P/E ratio for the media industry, estimate the price for CanWest if it just announced

Based on the following regression whose output estimates the forward P/E ratio for the media industry, estimate the price for CanWest if it just announced earnings of $2.75 per share and has the following known characteristics: Beta = 1.3, Payout = 0.55, Earnings Growth = 0.07

Regression Statistics
Multiple R	0.534936
R Square	0.286157
Adjusted R Square	0.195028
Standard Error	0.038288
Observations	54

	Coefficients	Standard Error	t Stat	P-value
Intercept	14.23657	2.41333	5.89914	0.000062
Beta	-0.10747	0.136177	-0.78923	0.433942
Payout	-0.61999	0.274706	-2.25693	0.028702
Earnings Growth	5.12223	2.45351	2.087717	0.04227

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