Question
XYZ Company's common stock pays no dividend. In researching other firms in the industry, you find that companies with similar products and operating characteristics have
XYZ Company's common stock pays no dividend. In researching other firms in the industry, you find that companies with similar products and operating characteristics have an average PE ratio of 12. XYZ just published its current financial data, which showed a $2.00 earnings per share. Basing your estimate on comparables (price ratio) analysis, what is a reasonable price per share for XYZ?
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Options Trading 12 Books In 1 Elevate Your Profits Erase Risks The Definitive Guide From Rookie To Top 1 Trader
Authors: Warren Ray Benjamin
1st Edition
979-8860106413
