Peter Lynch's formula is:
BAC Fair Value
= 5.00 x 3.16
BAC Fair Value
= 15.80
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 average growth rate is smaller than 5%, we set it to 5%. If it is larger than 25%, we set it to 25%. If the TTM EPS is negative, Peter Lynch Fair Value's result can be unreliable.
| Historical Earnings | ||||||
| 2019-12-31 | 2020-12-31 | 2021-12-31 | 2022-12-31 | 2023-12-31 | 5Y Avg | |
| Net income | 27,430.00 | 17,894.00 | 31,978.00 | 27,528.00 | 26,515.00 | 26,269.00 |
| YoY growth | -2.55% | -34.76% | 78.71% | -13.92% | -3.68% | 4.76% |
