Profit forecasting and valuation

It is estimated that in 2012-2014, the company will achieve operating income of 161 million yuan, 190 million yuan and 216 million yuan, and realized net profit of 86 million yuan, 108 million yuan and 120 million yuan, up 21.58%, 25.77%, and 11.50% over the previous year. EPS was 0.71 yuan, 0.90 yuan and 100 yuan respectively. Based on our price-earnings ratio of 28-30 times the company's 2012 performance, the reasonable listing price of Shuangcheng Pharmaceutical was between 19.9-21.3 yuan per share.