Business, 27.11.2019 21:31 Poohpooh6667

The market consensus is that analog electronic corporation has an roe = 9% and a beta of 2.05. it plans to maintain indefinitely its traditional plowback ratio of 1/3. this year's earnings were $3.8 per share. the annual dividend was just paid. the consensus estimate of the coming year's market return is 15%, and t-bills currently offer a 5% return.
a. find the price at which analog stock should sell. (do not round intermediate calculations. round your answer to 2 decimal places.)
b. calculate the p/e ratio. (do not round intermediate calculations. round your answers to 2 decimal places.)
c. calculate the present value of growth opportunities. (negative amount should be indicated by a minus sign. do not round intermediate calculations. round your answer to 2 decimal places.)
d. suppose your research convinces you analog will announce momentarily that it will immediately reduce its plowback ratio to 1/3. find the intrinsic value of the stock. (do not round intermediate calculations. round your answer to 2 decimal places.)

Answers: 2

Show answers

Another question on Business

Business, 22.06.2019 13:30

Hundreds of a bank's customers have called the customer service call center to complain that they are receiving text messages on their phone telling them to access a website and enter personal information to resolve an issue with their account. what action should the bank take?

Answers: 2

Answer

Business, 22.06.2019 16:30

:; )write a paragraph of two to three sentences and describe what will happen to a society that does not have a productive workforce?

Answers: 3

Answer

Business, 22.06.2019 20:40

If the ceo of a large, diversified, firm were filling out a fitness report on a division manager (i.e., "grading" the manager), which of the following situations would be likely to cause the manager to receive a better grade? in all cases, assume that other things are held constant.a. the division's basic earning power ratio is above the average of other firms in its industry.b. the division's total assets turnover ratio is below the average for other firms in its industry.c. the division's debt ratio is above the average for other firms in the industry.d. the division's inventory turnover is 6, whereas the average for its competitors is 8.e. the division's dso (days' sales outstanding) is 40, whereas the average for its competitors is 30.

Answers: 1

Answer

Business, 22.06.2019 21:50

Varto company has 9,400 units of its sole product in inventory that it produced last year at a cost of $23 each. this year’s model is superior to last year’s, and the 9,400 units cannot be sold at last year’s regular selling price of $42 each. varto has two alternatives for these items: (1) they can be sold to a wholesaler for $8 each, or (2) they can be reworked at a cost of $251,100 and then sold for $34 each. prepare an analysis to determine whether varto should sell the products as is or rework them and then sell them.

Answers: 2

Answer

You know the right answer?

The market consensus is that analog electronic corporation has an roe = 9% and a beta of 2.05. it pl...

Questions