Praxair, Inc.

NYSE: PX
Valuation Study: 6 November 2001
Valuation Data
Date Dividend Current Price $ 49.13
Dec-96 $0.09 Price/Earnings 25.07
Mar-97 $0.11 Historical Average P/E 18.08
Jun-97 $0.11 EPS (ttm) $ 1.96
Sep-97 $0.11 EPS1 $ 2.19
Dec-97 $0.11 ROE 13.50%
Mar-98 $0.12 Retained Earnings (RE1) $ 1.44
Jun-98 $0.12 Divs (ttm) $0.67
Sep-98 $0.12 Div1 $ 0.75
Dec-98 $0.12 Payout Ratio 34.18%
Mar-99 $0.14 Retention Ratio 65.82%
Jun-99 $0.14 Div Growth Rate 14.33%
Sep-99 $0.14 Sustainable Growth Rate 8.89%
Dec-99 $0.14 Average Growth Rate 11.61%
Mar-00 $0.16 Beta 1.08
Jun-00 $0.16 Risk-free Rate 3.50%
Sep-00 $0.16 Market Premium 8.60%
Dec-00 $0.16 Required Return (CAPM) 12.79%
Mar-01 $0.17
Jun-01 $0.17
Sep-01 $0.17

Valuation Results (12-month forecast)

Dividend Discount Model 63.27
Earnings Model 23.89
P/E Model 54.83
My Average Target Price 47.33
Average Analyst Target 55.57
 Praxair, Inc
Historical AnnualP/E Ratios
Year P/E Ratio
Dec-92 24.30
Dec-93 15.40
Dec-94 14.10
Dec-95 14.80
Dec-96 23.10
Dec-97 19.20
Dec-98 16.30
Dec-99 16.60
Dec-00 18.90
Current 25.07
Average 18.08

Source: MSN Money