Question: Using a PEG approach, what would the most appropriate P/E multiple be for a company that is expected to grow their earnings for the next

  1. Using a PEG approach, what would the most appropriate P/E multiple be for a company that is expected to grow their earnings for the next 3-5 years at 30%?

    a.

    a P/E of 15, using a PEG of 0.5

    b.

    a P/E of 45, using a PEG of 1.5

    c.

    a P/E of 75, using a PEG of 2.5

    d.

    none of the above as a PEG approach is not applicable here

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