3 Top Tech Stocks for 2016 and Beyond | The Motley Fool Canada: "Thomson Reuters Corp. (TSX:TRI)(NYSE:TRI) is the world’s leading source of intelligent information, which it describes as “a unique synthesis of human intelligence, industry expertise, and innovative technology” for businesses and professionals.
At today’s levels, its stock trades at just 18.8 times fiscal 2015’s estimated earnings per share of $2.06 and only 16.8 times fiscal 2016’s estimated earnings per share of $2.30, both of which are inexpensive compared with its five-year average price-to-earnings multiple of 42.7, its sub-industry average multiple of 20.3, and the sector average multiple of 21.2.
With the multiples above and its estimated 10.8% long-term earnings growth rate in mind, I think Thomson Reuters’s stock could consistently trade at a fair multiple of at least 20, which would place its shares around $46 by the conclusion of fiscal 2016, representing upside of more than 18% from current levels.
In addition, the company pays a quarterly dividend of $0.335 per share, or $1.34 per share annually, giving its stock a 3.5% yield."
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