FACTS

Current Trading Price

Current Earning Per Share
Current P/E Ratio
Dividend Payout

VARIABLES
$55.00
$5.50
10.0
30%

ASSUMPTIONS
Earnings Growth Rate (1st Five Years)
Earnings Growth Rate (2nd Five Years)
Discount Rate
P/E Ratio in 10 Years

12.00%
9.00%
10.0%
15

RESULTS
Value of Future Dividends Today
Value of Future Sales Price Today
Value of the Stock

$17.50
$86.25
$103.74

46.98%

Discount to Value
.

Year
1
2
3
4
5
6
7
8
9
10

10

Projected
Earnings
$6.16
$6.90
$7.73
$8.65
$9.69
$10.57
$11.52
$12.55
$13.68
$14.91

Projected
Earnings
$14.91

VALUE CALCULATIONS
Payout
Dividends
Ratio
30%
$1.85
30%
$2.07
30%
$2.32
30%
$2.60
30%
$2.91
30%
$3.17
30%
$3.45
30%
$3.77
30%
$4.10
30%
$4.47

P/E Ratio in
10 Years
15

Terminal
Value
$223.71

Discounted
Dividends
$1.68
$1.71
$1.74
$1.77
$1.81
$1.79
$1.77
$1.76
$1.74
$1.72
$17.50
Discounted
Terminal Value
$86.25