What is the price-earnings ratio

Assignment Help Finance Basics
Reference no: EM132467137

A stock has a price of $26.48 and earnings per share of $3.69. What is the price-earnings ratio?

Consider a stock that that is expected to pay a dividend of $1.31 a year from now. The dividend is expected to grow at a constant rate of 3.3% per year. The current price of the stock is $54. What rate of return are investors expecting? Enter your answer as a percentage. Do not include the percentage sign in your answer.

A company has issued preferred stock with an annual dividend of $3.99 that will be paid in perpetuity. The current price of the stock is $54.32. What is the expected rate of return on the preferred stock? Enter your answer as a percentage. Do not include the percentage sign in your answer.

Currently, Queen Inc. pays no dividends. However, analysts forecast that in 4 years Queen Inc. will pay its first annual dividend of $0.65 and dividends will grow at 2.3% per year thereafter. If stocks with similar risk to the equity of Queen Inc. currently earn 17.8%, estimate the current share price of Queen Inc.

Reference no: EM132467137

Questions Cloud

Discuss about credible news report or other media story : Discuss a relevant and credible news report or other media story (an article, TV program, documentary, or radio program) that focuses on one or more of concept
What is the annual percentage rate of the loan : What is the annual percentage rate (APR) of the loan? What is the effective cost if you prepay the loan at the end of year five?
What is the initial investment in the product : What is the initial investment in the product? Remember working capital.
How research be used in criminal justicepolicy development : Discuss a gap in understanding the findings in academic, peer-reviewed criminal justice research and practitioner policy development.
What is the price-earnings ratio : A stock has a price of $26.48 and earnings per share of $3.69. What is the price-earnings ratio?
What is the expected rate of return for stock : What is the expected rate of return for this stock? Enter your answer as a percentage. Do not include the percentage sign in your answer.
Define wacc shi import-export : Shi Import-Export's balance sheet shows $300 million in debt, $50 million in preferred stock, and $250 million in total common equity.
What roles does and should the media play : What roles does and should the media play when dealing with terrorism? How do terrorists use social media? How should we deal with their use of social media?
After-tax cash flow from the sale of the equipment : The firm's tax rate is 30%. What is the after-tax cash flow from the sale of the equipment?

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd