OPEN-SOURCE SCRIPT

Forward Valuation Target

301
Forward EPS and Revenue Valuation Targets

The Forward EPS Valuation Terminal Pro is a forward-looking valuation model that translates analyst earnings estimates into potential future price targets.

The indicator combines expected EPS estimates from FY1 to FY4 with an appropriate Forward P/E multiple to calculate an implied fair value for each fiscal year.

The fair P/E can be determined using different approaches: 5- and 10-year historical averages or medians, an interest-rate-adjusted valuation using the US 10Y Treasury yield, an earnings-growth-adjusted valuation, or a combination of these methods.

In addition, ±1 and ±2 standard deviation bands show how the implied price targets would change if the stock were valued at higher or lower Forward P/E multiples.

The displayed targets are not price predictions. Instead, they represent potential valuations based on current analyst expectations and the selected valuation assumptions.

At its core, the indicator answers one question:
“If earnings develop as currently expected, what could the stock be worth in future fiscal years at a reasonable valuation?”

Exención de responsabilidad

La información y las publicaciones no constituyen, ni deben considerarse como, asesoramiento o recomendaciones financieras, de inversión, de trading u otro tipo, proporcionadas o respaldadas por TradingView. Obtenga más información en Condiciones de uso.