4. Given are stock price, net assets (total stockholders' equity), share outstanding, and annual revenues for 2014 of the chemical companies.

Stock Price: DuPont (74.04), Dow (51.69), PPG (224.55)

Net Assets, in millions: DuPont (49876), Dow (68796), PPG (17583)

Shares Outstanding, in millions: DuPont (905), Dow (1150), PPG (136)

Sales, 2001, in millions: DuPont (34723), Dow (58167), PPG (15360)

Book Value Per Share: Dupont (______), Dow (___________), PPG (________)

Market-to-Book Ratio: Dupont (_________), Dow (________), PPG (________)

Calculate the market value, the sales to net assets, and sales to market value ratios.

Market Value, in millions: Dupont (_______), Dow (_______), PPG (_______)

Sales-to-Net Assets: Dupont (_______), Dow (_______), PPG (_______)

Sales-to-Market Value: Dupont (______), Dow (______), PPG (_______)

5. Use the earnings growth model [P = kE / (r - g)] to estimate projected stock price, assume the S&P 500 rate of return (r) is 12%.

Stock Price: DuPont 74.04, Dow 51.69, PPG 224.55

EPS Du Pont 3.5, Dow 2.87, PPG 8.35

Dividend Payout Du Pont 53.00% Dow 49.00% PPG 32.00%

5 Yr Earning Growth Du Pont 8.70% Dow 9.40% PPG 10.20%

Projected Price: DuPont ________ Dow _____ PPG _____

Overvalued / Undervalued: DuPont ______ Dow ______ PPG _______

6. Given the information below, calculate stock price to intrinsic value. Are these stocks overvalued or undervalued?

Stock Price, 5/1/2015 Du Pont 74.04 Dow 51.69 PPG 224.55

Annual Earnings (in millions) Du Pont 3168 Dow 3301 PPG 1136

5 Year Earnings Growth Rate Du Pont 8.39% Dow 8.59% PPG 10.68%

Discount Rate Du Pont 11% Dow 11% PPG 11%

Intrinsic Value per Share Du Pont 89.41 Dow 68.63 PPG 218.7

Stock Price to Intrinsic Value: Du Pont ______ Dow _____ PPG _____

Overvalued / Undervalued: Du Pont ______ Dow ________ PPG _____