Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The Amherst Company has a net profits of $14 million, sales of $160 million, and 3.4 million shares of common stock outstanding. The company has

image text in transcribed

The Amherst Company has a net profits of $14 million, sales of $160 million, and 3.4 million shares of common stock outstanding. The company has total assets of $94 million and total stockholders' equity of $41 million. It pays $1.23 per share in common dividends, and the stock trades at $21 per share. Given this information, determine the following: a. Amherst's EPS. b. Amherst's book value per share and price-to-book-value ratio. c. The firm's P/E ratio. d. The company's net profit margin. e. The stock's dividend payout ratio and its dividend yield. f. The stock's PEG ratio, given that the company's earnings have been growing at an average annual rate of 9.5%

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Shipping Finance A Practical Handbook

Authors: Stephenson Harwood

4th Edition

1787421406, 978-1787421400

More Books

Students also viewed these Finance questions