Peter Lynch's formula is:
MS Fair Value
= Earnings Growth Rate x TTM EPS
MS Fair Value
= 15.64 x 5.97
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 |
8,748.00 |
9,042.00 |
10,996.00 |
15,034.00 |
11,029.00 |
10,969.80 |
| YoY growth |
43.15% |
3.36% |
21.61% |
36.72% |
-26.64% |
15.64% |