What is the price per share Simba Inc. has a price-to-earnings (P/E) ratioof 15.3-to-1. Glendale Corp. has recentlyreported earnings per share (EPS) of $3.25.What is the price per share of Glendale Corp.according to the comparable multiplesapproach?

Here's how:P/E Ratio: 15.3EPS: $3.25The formula to calculate the price per share is:Price per share…

Answered: Simba Inc. has a price-to-earnings…

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter16: Financial Statement Analysis

Section: Chapter Questions

Problem 9DQ: The dividend yield of Suburban Propane Partners, L.P. (SPH) was 7.7% in a recent year, and the...

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Renew Company has an earnings per share (EPS) of $3.50, a value per share of $35, and a market value of $36. Calculate the price/earnings (P/E) ratio.
(Market valur ratios) Garret Industries has a price/earnings ratio of 16.29X. a) If Garret's earnings per share are $1.35, what is the price per share of Garret,s stock? b) Using the price per share you found in part (a), determine the price/book ratio if Garret,s equity book value per share is $9.58.
Compute Topp Company’s price-earnings ratio if its common stock has a market value of $20.54 per share and its EPS is $3.95. Its key competitor, Lower Deck, has a PE ratio of 9.5. For which company does the market have higher expectations of future performance?
The dividend yield of Suburban Propane Partners, L.P. (SPH) was 7.7% in a recent year, and the dividend yield of Alphabet Inc. (GOOG) was 0% in the same year. What might explain the difference between these ratios?
Compute the price earnings ratio given the following.
mpany had a market price of $39.00 per share, earnings per share of $2.00, and dividends per share of $1.15. Its price-earnings ratio equals:
The price-earnings per share of A, B, C, D and E is P6.00, P6.25, P6.80, P6.90 and P6.20. If A has earnings per share of P1,200.00, it would currently be ____ by ____ compared to the group average. a. Overvalued by P516 b. Undervalued by P540 c. Undervalued by P516 d. Overvalued by P550
What is the book value per share and earning per share accounting
Suppose that in January 2006, Kenneth Cole Productions had EPS of $1.76 and a book value of equity of $12.93 per share. Use the multiples approach to estimate KCP's value based on the comparable firms given in the following table: a. Using the average P/E multiple from the table above, estimate KCP's share price. b. What range of share prices do you estimate based on the highest and lowest P/E multiples in the table above? c. Using the average price to book value multiple in the table above, estimate KCP's share price. d. What range of share prices do you estimate based on the highest and lowest price to book value multiples in the table above? a. Using the average P/E multiple from the table above, estimate KCP's share price. KCP's share price for this case will be $ (Round to the nearest cent.) b. What range of share prices do you estimate based on the highest and lowest P/E multiples in the table above? The highest price will be $ (Round to the nearest cent.) The lowest price will…
Compute Topp Company's price-earnings (PE) ratio if its common stock has a market value of $22.20 per share and its earnings per share (EPS) is $4.00. Topp's key competitor, Lower Deck, has a price-earnings (PE) ratio of 9.5. For which company does the market have higher expectations of future performance? Complete this question by entering your answers in the tabs below. Price Earnings Ratio Future Performance Compute Topp Company's price-earnings (PE) ratio if its common stock has a market value of $22.20 per share and its earnings per share (EPS) is $4.00. Choose Numerator: Price Earnings Ratio 1 Choose Denominator: 1 1 Price Earnings Ratio = Price Earnings Ratio
A company has earnings per share of $9.80. Its dividend per share is $.60, its market price per share is $124.46, and its book value per share is $100. Its price-earnings ratio equals: Multiple Choice 10.20. 9.80. 8.70. 16.33. 12.70.
What is the current price earnings ratio on these financial accounting question ?

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Simba Inc. has a price-to-earnings (P/E) ratio of 15.3-to-1. Glendale Corp. has recently reported earnings per share (EPS) of $3.25. What is the price per share of Glendale Corp. according to the comparable multiples approach?