Hi there,

I'm new to this site, and to the calculations from the book. I've been interesting in Apple stock, and went through the numbers last night. However, I came up with a totally different MOS (which I doubt I will ever see), namely $58.85.

I won't detail all the numbers - I got them off of the advn site - but I will give the growth rates I came up with to do the MOS calculations.

EPS 10yr: 21%
EPS 5yr: 126%
EPS 1yr: 43%

Cash Flow 10yr: 31%
Cash Flow 5yr: 132%
Cash Flow 1yr: -31% (??)

Equity/BV 10yr: 21%
Equity/BV 5yr: 20%
Equity/BV 1yr: 31&

Sales 10yr: 12%
Sales 5yr: 35%
Sales 1yr: 39%

EPS growth: 21%
Historical PE: 30
Sticker Price: $117.76
MOS: $58.85

All I can figure is that with a PE of 40, the MOS is $78.50. Is that what people are thinking? I can totally believe the PE of 40 in the next few years, but it seems hard to sustain for ten years, particularly if the economic environment dampens.

On an unrelated note, I'm intrigued by CAJ (Canon) but haven't gone through the numbers yet... it looks like the most recent annual numbers are not in yet.

I'm paper trading as of yet anyhow...