Question
PT ABC, which is engaged in the heavy equipment spare parts business, offers shares to the public through the Indonesia Stock Exchange at a price
PT ABC, which is engaged in the heavy equipment spare parts business, offers shares to the public through the Indonesia Stock Exchange at a price of IDR 1500 per share. Current profit per share is Rp 700 and dividend payout ratio of 70%
Mr. Hasan was very interested in investing a very large amount of money in PT ABC's shares, so he visited 3 investment consulting firms to find out the feasibility of his investment.
According to Ana's consultant, in a condition of economic crisis, PT ABC will experience constant negative growth of -4% every year
According to consultant Ani, despite the economic crisis, heavy equipment spare parts will still have a market, so that the company can survive with zero growth
According to Ina's consultant, PT ABC will be able to seize market opportunities due to the high price of imported spare parts, so he is optimistic. PT ABC will get blessings from the economic crisis by turning challenges into opportunities PT ABC according to its prediction will grow in the first year by 6% per year, the second year 13% per year, the third year 17% and after that it grows at a constant 5% each year
Question: a. If Mr. Hasan wants a profit rate of 13%, the fair price of PT ABC's shares, and is appropriate for the shares to be purchased according to each consultant b. What is the normal PER and actual PER according to each consultant
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