The current stock price of Bay James Tourism Company is $25. Current earnings per share are $15 and are expected to grow by 20% next year. Bay James Tourism's trailing and forward price-earnings ratios are:
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- Earnings per common share of ABC Industries for the next year are expected to be $2.65 and to grow 11.5% per year over the next 4 years. At the end of the 5 years, earnings growth rate is expected to fall to 6.75% and continue at that rate for the foreseeable future. ABC's dividend payout ratio is 35%. If the expected return on ABC's common shares is 14.5%, calculate the current share price. (Round your answer to the nearest cent.) Current share price $Earnings per common share of ABC Industries for the current year are expected to be $2.65 and to grow 11.5% per year over the next 4 years. At the end of the 5 years, earnings growth rate is expected to fall to 6.75% and continue at that rate for the foreseeable future. ABC’s dividend payout ratio is 35%. If the expected return on ABC's common shares is 14.5%, calculate the current share price. please answer fast i give upvoteEarnings per common share of ABC Industries for the current year are expected to be $2.05 and to grow 9.5% per year over the next 4 years. At the end of the 5 years, earnings growth rate is expected to fall to 5.25% and continue at that rate for the foreseeable future. ABC's dividend payout ratio is 35%. If the expected return on ABC's common shares is 20.5%, calculate the current share price. (Do not round intermediate calculations. Round your answer to the nearest cent.) Current share price $ [
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- Collins Inc. has just paid its annual dividend of $2.2. The company expects that its dividends in the first three years will be $1.9, $2.3, and $2.7, respectively. The company estimates an EPS in year three to be $5.6 , the EPS in year four to be $6.0, and the median leading industry P/E in year three to be 20. Calculate Collins Inc. current value if the cost of equity is 14%.. A company has a return on equity of 32 percent and plowback ratio of 50 percent. If the earnings of the coming year are expected to be $4, at what price will the stock sell?Assume market capitalization rate = 24 percent.The stock of Nogro Corporation is currently selling for $29 per share. Earnings per share in the coming year are expected to be $3.90. The company has a policy of paying out 50% of its earnings each year in dividends. The rest is retained and invested in projects that earn a 21% rate of return per year. This situation is expected to continue indefinitely. a. Assuming the current market price of the stock reflects its intrinsic value as computed using the constant-growth DDM, what rate of return do Nogro's investors require (round to 2 decimal places)? Rate of Return ?% b. By how much does its value exceed what it would be if all earnings were paid as dividends and nothing were reinvested (round to 2 decimal places)? PVGO $?
