LinkedIn suffered a large drop in share value following an unexpectedly weak forecast of their future earnings. Why would this surprise cause investors to value LinkedIn lower?
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LinkedIn suffered a large drop in share value following an unexpectedly weak
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- LVMH Moet Hennessy Louis Vuitton SA has 473.06 million ordinary shares outstanding, and the market price for a share of equity at the end of 2015 was €46.79. (Round your answer to 2 decimal places (e.g., 32.16).) Requirement 1: What is the price-earnings ratio for 2016? Price-earnings ratio for 2016 times Requirement 2: What are the dividends per share for 2016? Dividends per share for 2016 € per share Requirement 3: What is the market-to-book ratio at the end of 2015? Market-to-book ratio times Requirement 4: If the company’s growth rate is 9 per cent, what is the PEG ratio for 2016? PEG ratio for 2016 times2018 2017 Net Income (in millions) ? ? Weighted Average Shares Outstanding (in millions) Basic Number Shares ? 59.2 Diluted Number of Shares 64.8 ? Earnings Per Share Basic 1.50 1.09 Diluted 1.43 1.02Batflix, Inc. (BFLX) reported mixed financial news for March, 31 2022 relative to analyst expectations. Earnings per share (EPS) were $3.53, a first time decline of 5.9% from the same period last year, but greater than the analyst prediction of $2.89. Revenue growth was the slowest in 3 years, but it met the analyst predictions exactly. Global paid streaming memberships was 221.6 million, missing analysts' predictions by nearly 3 million. Cash flow from operations (CFO) were 922.84 million, significantly higher than CFO for March, 31 2021 of 773.3 million, when earnings were the same ($3.53 per share). If markets are NOT semi-strong efficient, and the accruals anomaly applies, predict the stock price movement at the time of the earnings release compared to last year’s stock returns. What should the market reaction be compared to last year if the market were efficient? Predict how an investor exhibiting prospect theory might behave.
- H6. Earnings Per Share Financial statement data for years ending December 31 for Jardine Company are shown below. 2016 2015 Net income $415,500 $331,000 Preferred dividends $63,000 $63,000 Average number of common shares outstanding 50,000 shares 40,000 shares a. Determine the earnings per share for 2016 and 2015. Round your answers to two decimal places. 2016 $fill in the blank 1 per share 2015 $fill in the blank 2 per share b. Does the change in the earnings per share from 2015 to 2016 indicate a favorable or an unfavorable trend? Show proper calculationEarnings per share Financial statement data for the years ended December 31 for Black Bull Inc. follows: 2016 2015 Net income 2,485,700 1,538,000 Preferred dividends 50,000 50,000 Average number of common shares outstanding 115,000 shares 80,000 shares a. Determine the earnings per share for 2016 and 2015. b. Does the change in the earnings per share from 2015 to 2016 indicate a favorable or an unfavorable trend?Information on Royal Bank (RY): •Royal Bank Common Shares (RY) recently closed at $103.35 on the TSE. •Royal Bank profit last year was approximately $13 Billion dollars,from which it paid out $5.2 Billion in dividends. • ROE for the Royal Bank is estimated to be fairly stable at 18.2%. actual quarterly dividends of RY for the years 2014 to 2018 and the estimated quarterly dividend for 2019. Year Quarterly Dividend 2014 $0.71 2015 $0.76 2016 $0.81 2017 $0.87 2018 $0.94 Estimated 2019 $1.02 A. The market expects this pattern of dividend increases to continue therefore, calculate the cost of equity for RY. Show all work please B. If the Royal Bank was not planning to raise eternal financing then what will RY’s growth rate be? Show all work in detail. C. Identify some advantages and disadvantages of the Dividend growth model.
- Sprint Nextel Corp. stock ended the previous year at $47.36 per share. It paid a $3.37 per share dividend last year. It ended last year at $42.89. If you owned 950 shares of Sprint, what was your dollar return and percent return? (Negative answers should be indicated by a minus sign. Round "Percent return" to 2 decimal places.)Shares trading at $ 94 in March 2013, the market capitalization of XYZ's common equity was $ 165.50 billion. XYZ Company listed $ 21 billion of debt on its most recent balance sheet. How many common shares were outstanding? What value was the market placing on XYZ'S enterprise value (the value of the firm)? XYZ Company listed 185 million shares in treasury stock on its balance sheet. How many issued shares were there? Select one: D a. $ 19.45 billion Ob. None of these c $ 1.945 billion 0 d $ 794,5 billion#23 On April 13, 2017, Yext inc. completed its IPO on the NYSE. Yext sold 11,800,000 shares of stock at an offer price of $9.21 per share. Yext's closing stock price on the first day of trading on the secondary market was $13.39. a. Calculate the gross procceds for Yext's IPO. b. Calculate Yext's IPO underpricing. c. Calculate the money left on the table for Yext's IPO.
- On August 1, 2007 the Dell Computer Corporation's stock closed trading at $27.76 per share while Apple Corporation's shares closed at $133.64. Does this mean that because Apple's stock price is roughly four times that of Dell's, Apple is the more valuable company? Interpret the prices for these two firms using the information found here: (Most recent 12 months) Dell 2007 Apple 2007Net Income ($ millions) $3,572 $3,130Shares outstanding (millions) 2,300 869.16Earnings per share ($) $1.55 $3.60Price per share (8/1/07) $27.76 $133.64Price-to-earnings ratio (PE ratio) 17.91 37.11Book value of common equity ($ millions) $4,129 $9,984Book value per share ($) $1.80 $11.49Market-to-book ratio 15.42 11.63 It appears that Apple enjoys a ▼ higher lower price per share when compared to its 2007 earnings but a ▼ higher lower price when compared to the book value of the firm's equity. The ▼ lower higher market-to-book ratio for Apple reflects that fact that…q6- You are using Bloomberg to look up financial information for Delta Ltd. You determine that the share price is currently $13.80 and that the value of dividends paid over the past year was $1.41. You paid $8.47 for the share exactly one year ago. What would you expect the dividend yield to be according to Bloomberg? a. 62.93% b. 10.22% c. 79.57% d. 16.65%Q13 The Engineering Company currently has 100,000 outstanding stocks selling at OMR 100 each. The firm has net profits of OMR 1,000,000 and wants to make new investments of OMR 2,000,000 during the period. The firm is also thinking of declaring a dividend of OMR 5 per share at the end of the current fiscal year. The market price of per stock at the end of the current year is expected to be OMR 120. How many number new stocks to be issued by the firm assume that dividend is declared under MM model? a. 10,000 stocks b. 15,000 stocks c. 20,000 stocks d. 12,500 stocks
