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A company is planning to pay EUR 3 million in dividend to its common shareholders this year. Enclosed the following earnings and market price information

A company is planning to pay EUR 3 million in dividend to its common shareholders this year. Enclosed the following earnings and market price information for the company:

Net income 6.500.000 Number of shares 150.000 Expected market price per share after the dividend payment: 42

Option A - repurchased shares at a price of EUR 42, evaluate the companys share price after the repurchase by calculating the EPS and estimated share price. Option B - announce a 3 for 1 share split for its shareholders, assuming that the company chose option B, how many shares outstanding would the company have and what would be its EPS after the split?

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A company is planning to pay EUR 3 million in dividend to its common shareholders this year. Enclosed the following earnings and market price information for the company: Expected market price per share after the dividend payment: 42 Option A - repurchased shares at a price of EUR 42, evaluate the company's share price after the repurchase by calculating the EPS and estimated share price. Option B - announce a 3 for 1 share split for its shareholders, assuming that the company chose option B, how many shares outstanding would the company have and what would be its EPS after the split

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