SteadyEddy Inc. reported the following numbers as EPS (Earnings per share) 2019 EPS 2.11 2020 EPS 1.99 2021 EPS 2.35 Calculath the EPS forecast for 2022 under the random walk and mean reversion (assuming reversion over 3 years) models. If the company reports EPS of 2.40 in 2022 which model forecasts fits best

Answer rating: 100% (QA)

To forecast the EPS for 2022 using the random walk and mean reversion models we can calculate the av... View the full answer