SPY - Price target 52 based upon P/E

Discussion in 'Stocks' started by Port1385, Oct 9, 2008.

  1. This is an easy one. Earnings is 75. My calculations have the P/E to trade at 7. 7X75=52.5 or going back to 1995 price levels.

    Its makes sense on the chart if the price does not bounce at 80 then the next step is 52.

    Say it isnt so, it is so.
     
  2. SPY at 52 is about a 66% loss off its high last October. Wouldn't surprise me if it went even lower than that, possibly -80%...

    Well, on second thought, 80% might be unrealistic, but, there are some very serious fundamental changes occurring at the moment. Anything is possible and history does repeat itself.
     
  3. [​IMG]

    Target price is 7 bucks in my book for the P/E. Multiply that number by earnings of 75.