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Listed here are data for five companies. These data are for the companies' 2019 fiscal years. The market price per share is the closing
Listed here are data for five companies. These data are for the companies' 2019 fiscal years. The market price per share is the closing price of the companies' stock the day after they announced their 2019 earnings. Except for market price per share, all amounts are in millions. The shares outstanding number is the weighted-average number of shares the company used to compute basic earnings per share. Note that the numbers for Mountainview Investments are significantly different that the other companies. For example, the number for its shares outstanding includes a decimal, not a comma. Its shares outstanding are about are 1.6 million, not 1.6 billion. Company Nile.com Mountainview Investments Big Oil Soda Fizz Incorporated Ringer Corporation Required Stockholders' Net Earnings $11,906 Equity $62,542 Shares Outstanding 944 81,940 428,877 1.643 14,652 199,321 4,490 7,801 15,359 1,784 5,684 63,303 4,570 Market Price per Share $ 2,005.10 333,445 61.63 147.89 59.41 a. Compute the earnings per share (EPS) for each company. b. Compute the P/E ratio for each company. c. Using the P/E ratios, rank the companies' stock in the order that the stock market appears to value the companies, from most valuable to least valuable. d. Compute the book value per share for each company. e-1. Compute the ratio of Market Value to Book Value of each company. e-2. Based on the data, rank the companies from most valuable to least valuable. (The higher the ratio of market value to book value, the greater the value the stock market appears to be assigning to a company's stock.) (For all the requirements, round your intermediate calculations and final answers to 2 decimal places.) a. Company EPS b. P/E Ratio C. Ranking d. Book Value per Share e1. Ratio of Market Value to Book Value e2. Ranking Nile.com $ 12.61 159.98 1 66.25 30.26 1 Mountainview Investments 49.90 6.68 5 261.19 1.28 5 Big Oil 3.32 18.55 45.21 1.36 4 Soda Fizz Incorporated 4.37 33.82 3 8.61 17.18 2 Ringer Corporation 1.24 47.77 2 13.85 4.29 3
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