National City Bank has 704,800,000 shares of common stock outstanding that are currently selling for $59.85 per share on the New York Stock Exchange. If National City’s net income was $4,440,240,000 in the year that just ended, what was its earnings per share and what is its current price-earnings ratio? (Round answers to 2 decimal places, e.g. 15.25.) Earnings per share $_____ Price-earnings ratio times_____ If the typical price-earnings ratio for a bank is currently 15, what does the price-earnings ratio for National City tell you about its prospects? The market is ( more or less) optimistic about National City’s prospects than it is about the prospects of the typical bank.
National City Bank has 704,800,000 shares of common stock outstanding that are currently selling for $59.85 per share on the New York Stock Exchange. If National City’s net income was $4,440,240,000 in the year that just ended, what was its earnings per share and what is its current price-earnings ratio? (Round answers to 2 decimal places, e.g. 15.25.) Earnings per share $_____ Price-earnings ratio times_____ If the typical price-earnings ratio for a bank is currently 15, what does the price-earnings ratio for National City tell you about its prospects? The market is ( more or less) optimistic about National City’s prospects than it is about the prospects of the typical bank.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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National City Bank has 704,800,000 shares of common stock outstanding that are currently selling for $59.85 per share on the New York Stock Exchange. If National City’s net income was $4,440,240,000 in the year that just ended, what was its earnings per share and what is its current price-earnings ratio? (Round answers to 2 decimal places, e.g. 15.25.)
Earnings per share $_____
Price-earnings ratio times_____
If the typical price-earnings ratio for a bank is currently 15, what does the price-earnings ratio for National City tell you about its prospects?
| The market is ( more or less) optimistic about National City’s prospects than it is about the prospects of the typical bank. |
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