Question
Based off the following ratios, tell a brief analysis of each company based on the ratio results. Be specific. Highlight similarities and differences. For instance,
Based off the following ratios, tell a brief analysis of each company based on the ratio results. Be specific. Highlight similarities and differences. For instance, the ratios cover the topics of shareholder value, investor risk, operating profitability and efficiency. Be sure to address all of these issues in your analysis. Which company would you invest in company 1, 2 or 3?
Ratio | 1 | 2 | 3 |
EPS | 4.88 | 14.07 | 2.18 |
P/E | 32.78 | 17.64 | 26.76 |
Dividend Payout | 0.88 | 0.44 | 0.21 |
Dividend Yield | 2.24 | 3.60 | 0.84 |
Leverage Ratio | 1.74 | 1.06 | 1.36 |
Gross Margin | 24.3 | 29.3 | 22.01 |
Net Profit Margin | 2.39 | 6.55 | 1.2 |
ROA | 3.30 | 12.38 | 2.39 |
ROE | 11.59 | 43.82 | 10.80 |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started