Annual Net Income	# shares outstanding	Stock price per share
Estee Lauder (EL)	$3,360,000	231,800	$190.58
Lululemon (LULU)	$1,002,000	122,440	$345.32
Louis Vuitton (LVMHF) Paris exchange	$13,270,000	502,700	$886.37
Steven Madden (SHOO)	$243,990	79,860	$30.48
Destination XL (DXLG)	$48,632	62,620	$4.11
American Clothing Company (PVH)	$985,500	66,960	$86.89

1. For each of the above companies, compute a) earnings per share and b) the P/E ratio.(DONE)

Estee Lauder (EL) earnings per share ($14.50) P/E ratio ($13.15)

Lululemon (LULU) earnings per share ($8.18) P/E ratio ($42.19)

Louis Vuitton (LVMHF) earnings per share ($26.40) P/E ratio ($33.58)

Steven Madden (SHOO) earnings per share ($3.06) P/E ratio ($9.98)

Destination XL (DXLG) earnings per share ($0.78) P/E ratio ($5.29)

American Clothing Company (PVH) earnings per share ($14.72) P/E ratio ($5.90)

1. Look at Louis Vuitton and Steven Madden. What is it that makes Louis Vuitton stock sell at over $726 a share while SHOO sells for over $32 a share? Is it profit?Growth potential? Risk? How can you tell? (9pts)
2. Look at DXLG and LULU. Is it profit, growth potential or risk that is the main reason why a share of DXLG stock costs about $6 while LULU stock is worth over $315 a share? How can you tell? (9pts)
3. Which stock would you avoid purchasing, why? (5pts)
4. If you were given a choice of investing your money into one of the companies above, who would it be? Why did you choose that company? Growth, Earnings, both? (4pts)