I am trying to value a company.
I have the 2012-2015 financial statement, and i have done different set of valuations…
My question is about Maintainable Earnings,
Based on the trailing financial information available to me, is it safe to assume or to say the firm’s future earnings will fall within the range of the calculated maintainable earnings?
I calculated the implied share-price of the company which was different from the current market price.
I just want to know if it is safe for me to make such conclusion about the firm’s 2016 earnings range based on the calculated maintainable earnings considering the fact that I only have trailing financial datas, and no knowledge of the company’s plan for 2016.
Thank you.