Please explain which elements can be considered to value the stock of a company that does...
Please explain which elements can be considered to value the stock of a company that does not pay dividends.
How can we value the stock?
Homework Answers
Elements that can be considered to value the stock of a company that does not pay dividends:-
1) Earnings growth
2) Return on ploughing back of profits
3) Future possibility of dividend payment
Valuation
1) P/E Earnings ratio
2) Discounted Cash Flow method
3) Price to Book value method
4) Revenue multiple
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Please explain which elements can be considered to value the
stock of a company that does...
Why does the value of a share of stock depend on dividends? A substantial percentage of...
Why does the value of a share of stock depend on dividends? A substantial percentage of the companies listed on the NYSE and the NASDAQ don’t pay dividends, but investors are nonetheless willing to buy shares in them. How is this possible given your answer to the previous question? Referring to the previous questions, under what circumstances might a company choose not to pay dividends?
Which of the following statements is true? A. If a company will never pay out dividends, the stock value is zero accordi...
Which of the following statements is true? A. If a company will never pay out dividends, the stock value is zero according to the dividend valuation models. B. If a stock's dividend growth rate is greater than the required rate of return, we cannot use dividend valuation models to calculate the stock value. C. We have other alternatives to valuate stock price. D. All of the above.
Please explain with steps 8. Show that the order in which elements are listed in a set does not matter. Use sets to defi...
Please explain with steps
8. Show that the order in which elements are listed in a set does not matter. Use sets to define the notion of ordered pair < a, b > and give a proof that your definition works. This means to show that if < a,b >=< c,d >, then a = c and b = d.
8. Show that the order in which elements are listed in a set does not matter. Use sets to define...
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Let's say that you were a financial consultant hired to place a value on the stock...
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7 In some states, a company must set a Par Value to its Common Stock. But...
7 In some states, a company must set a Par Value to its Common Stock. But the Par Value is not necessarily the Market Value of that Common Stock. Please complete this equation: The Market Price of Common Stock on an Issue Date Par Value + 8 Treasury stock carried in the Equity section as a contra- equity account reflects the price paid for the common stock repurchased. The account is said to report this as a measure. This means...
please answe 1,3 and 11 not answers in pictures please REVIEW AND CRITICAL THINKING QUESTIONS 1....
please answe 1,3 and 11
not answers in pictures please
REVIEW AND CRITICAL THINKING QUESTIONS 1. Stock Valuation (L01] Why does the value of a share of stock depend on dividends 2. Stock Valuation [L01] A substantial percentage of the companies listed on the NYSE and NASDAQ don't pay dividends, but investors are nonetheless willing to buy shares in them. How is this possible given your answer to the previous question 3. Dividend Policy [L01] Referring to the previous questions,...
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Nathan's Athletic Apparel has 1,700 shares of 5% , $100 par value preferred stock the company issued at the beginning of 2017 All remaining shares are common stock The company was not able to pay dividends in 2017, but plans to pay dividends of $18,000 in 2018. Required: 1. & 2. Ansuming the preferred stock is cumulative and noncumulative, how much of the $18,000 dividend will be paid to preferred stockholders and how much will be paid to common stockholders...
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Which of the following statements is NOT CORRECT? Stock repurchases can be used by a firm as part of a plan to change its capital structure. After a 3-for-1 stock split, a company's price per share should fall, but the number of shares outstanding will rise. Investors may interpret a stock repurchase program as a signal that the firm's managers believe the stock is undervalued, or, alternatively, as a signal that the firm does not have many good investment opportunities....
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Please explain with steps
8. Show that the order in which elements are listed in a set does not matter. Use sets to define the notion of ordered pair < a, b > and give a proof that your definition works. This means to show that if < a,b >=< c,d >, then a = c and b = d.
8. Show that the order in which elements are listed in a set does not matter. Use sets to define...
7 In some states, a company must set a Par Value to its Common Stock. But the Par Value is not necessarily the Market Value of that Common Stock. Please complete this equation: The Market Price of Common Stock on an Issue Date Par Value + 8 Treasury stock carried in the Equity section as a contra- equity account reflects the price paid for the common stock repurchased. The account is said to report this as a measure. This means...
please answe 1,3 and 11
not answers in pictures please
REVIEW AND CRITICAL THINKING QUESTIONS 1. Stock Valuation (L01] Why does the value of a share of stock depend on dividends 2. Stock Valuation [L01] A substantial percentage of the companies listed on the NYSE and NASDAQ don't pay dividends, but investors are nonetheless willing to buy shares in them. How is this possible given your answer to the previous question 3. Dividend Policy [L01] Referring to the previous questions,...
Nathan's Athletic Apparel has 1,700 shares of 5% , $100 par value preferred stock the company issued at the beginning of 2017 All remaining shares are common stock The company was not able to pay dividends in 2017, but plans to pay dividends of $18,000 in 2018. Required: 1. & 2. Ansuming the preferred stock is cumulative and noncumulative, how much of the $18,000 dividend will be paid to preferred stockholders and how much will be paid to common stockholders...
A company with a P/E Ratio of 40 is considered a stock. Growth Value Large Cap Technical
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