Company A has 4 million shares outstanding and its net income stood at $35 million. The current share price of Company A is $102. What is its P/E ratio? 11.34 times 12.66 times 11.66 times 12.34 times
Company A has 4 million shares outstanding and its net income stood at $35 million. The current share price of Company A is $102. What is its P/E ratio? 11.34 times 12.66 times 11.66 times 12.34 times
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter7: Analysis Of Financial Statements
Section: Chapter Questions
Problem 3P: Winston Watch’s stock price is $75 per share. Winston has $10 billion in total assets. Its balance...
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Concept explainers
Financial Ratios
A Ratio refers to a figure calculated as a reference to the relationship of two or more numbers and can be expressed as a fraction, proportion, percentage, or the number of times. When the number is determined by taking two accounting numbers derived from the financial statements, it is termed as the accounting ratio.
Return on Equity
The Return on Equity (RoE) is a measure of the profitability of a business concerning the funds by its stockholders/shareholders. ROE is a metric used generally to determine how well the company utilizes its funds provided by the equity shareholders.
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