Valuation Method

1. Compute for the price earnings ratio if the earnings per share is Php 5.50: Market Value per share P.E Ratio 27.500 ION - 30.250 22.000 4 17.875 5 28.875 2. A. Babel Co. a publicly listed company, reported earnings for the year amounting to Php 25 million with outstanding shares of 1 million. The market value per share of Babel Co. is Php 122. What is the P/E Ratio of Babel Co. (round your answer to the nearest ones)? B. Suppose that Babel Co. sets as the industry leader, Vincenzo Co., another player in the same industry is being eyed by an investor. The reported EPS of Vincenzo Co. is Php 10. If the investor is aware of the Babel Co.'s performance, how much should investor value Vincenzo Co. ?3. Listed Digital Industry players has the following market value and earnings per share: Player Market Value per Earnings per share P/E Ratio share A 46.50 5.00 B 45.24 6.03 C 16.25 2.18 25.11 3.72 MO 34.32 4.29 An analyst is looking into the performance of another firm in the same industry but is not listed, the company reported earnings Php 1.25 per share. How much is the value of the firm?4. Bebe Co. declared dividends of Php 2 per share for their performance last year after the declaration of dividends the market value per share increased to Php 45 per share. What is the dividend yield ratio of Bebe Co. 5. A. Labcore Inc.'s statement of financial position as of December 31, 2019 reported the following: Asset - Php 400 million; Liabilities - Php 100 million; Equity - Php 300 million with outstanding shares of 10 million. The Labcore Inc.'s stock is already selling at Php 37 per share. How much is the Book-to-Market Ratio