Peter Lynch's formula is:
AD.UN.TO Fair Value
= Earnings Growth Rate x TTM EPS
AD.UN.TO Fair Value
= 25.00 x 2.17
AD.UN.TO Fair Value
= 54.17
The earnings growth rate we use in the formula is the average growth rate
of net income/earnings over the last 5 years. If the TTM EPS is negative, we do not compute Peter
Lynch's formula for that stock. If the average growth rate is smaller than 5%, we set it to 5%. If
it is larger than 25%, we set it to 25%.
|
Historical Earnings |
|
|
|
2018-12-31 |
2019-12-31 |
2020-12-31 |
2021-12-31 |
2022-12-31 |
5Y Avg |
Net income |
60.80 |
36.30 |
20.30 |
144.24 |
130.68 |
78.46 |
YoY growth |
410.92% |
-40.30% |
-44.08% |
610.56% |
-9.41% |
185.54% |