Question
Consider the following info on the current PE ratios, (expected) growth rates in earnings (%), and dividend yields (%) for KO, Pepsi, Dr. Pepper, and
Consider the following info on the current PE ratios, (expected) growth rates in earnings (%), and dividend yields (%) for KO, Pepsi, Dr. Pepper, and Mondelez: Firm Current PE Growth (%) dividend yield (%) KO 15.02 2.2 3.32 Dr Pepper 23 6.5 2.00 Pepsico 24.5 9.5 3.25 Mondelez 26.5 11.05 1.5 Based on the info provided in the table, which of these firms will you consider a good buy most likely? (Note: each company's PEG and PEGY ratios are also provided in the table as they can be calculated using the info shown in the table.) Dr Pepper KO (Coca-Cola) Mondelez Pepsico
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