Given the information below for HooYah! Corporation, compute the expected share price at the end of 2020 using price ratio analysis. Assume that the historical (arithmetic) average growth rates will remain the same for 2020. (Do not round intermediate calculations. Round your answers to 2 decimal places. Exclude negative annual PE and P/CFPS ratios from the average PE and average P/CFPS ratio calculations. When computing annual growth rates, use a positive sign on the annual rate of change if the per share value increased in value and use a negative sign on the annual rate of change if the per share value deceased in value.) Year Price. EPS CFPS SPS 2014 $ 24.00 -4.00 -15.00 2015 $60.50 -3.29 2016 2017 $132.00 $209.00 -2.00 -12.50 -3.00 -.52 -.20 21.00 29.50 26.10 29.60 33.10 Answer is complete but not entirely correct. Share Price Using PE ratio Using P/CF ratio Using P/S ratio 95.41 $ $ 51.00 3 $ 000 142.86 2018 $99.00 .06 .48 2019 $29.50 .06 .08 37.95
Given the information below for HooYah! Corporation, compute the expected share price at the end of 2020 using price ratio analysis. Assume that the historical (arithmetic) average growth rates will remain the same for 2020. (Do not round intermediate calculations. Round your answers to 2 decimal places. Exclude negative annual PE and P/CFPS ratios from the average PE and average P/CFPS ratio calculations. When computing annual growth rates, use a positive sign on the annual rate of change if the per share value increased in value and use a negative sign on the annual rate of change if the per share value deceased in value.) Year Price. EPS CFPS SPS 2014 $ 24.00 -4.00 -15.00 2015 $60.50 -3.29 2016 2017 $132.00 $209.00 -2.00 -12.50 -3.00 -.52 -.20 21.00 29.50 26.10 29.60 33.10 Answer is complete but not entirely correct. Share Price Using PE ratio Using P/CF ratio Using P/S ratio 95.41 $ $ 51.00 3 $ 000 142.86 2018 $99.00 .06 .48 2019 $29.50 .06 .08 37.95
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter10: Stockholder's Equity
Section: Chapter Questions
Problem 88PSA: Ratio Analysis Consider the following information taken from the stockholders equity section: How do...
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