Proct
Procter & Gamble’s (NYSE: PG) inventory at present stands at round $125 per share, up from round $99 right now final 12 months. Nevertheless, we anticipate a good value of round $130 per share for P&G’s inventory. Our value estimate is predicated on anticipated 2020 earnings per share of $4.98 and a price-to-earnings a number of of round 26.1x.
We’ve summarized our forecasts in our interactive dashboard on Procter & Gamble’s Valuation the place we element a few of the key steps in figuring out P&G’s valuation sensitivity to modifications in its phase revenues, shares excellent, and valuation a number of.
We arrive on the inventory value estimate for Procter & Gamble as:
Inventory Value = (Complete Income x Web Revenue Margin / Shares Excellent) x P/E A number of
A] Estimating Procter & Gamble’s Complete Income
- P&G’s revenue has grown from $65.06 billion in…