FM213 - AT - Problem Set 3

Download as pdf or txt
Download as pdf or txt
You are on page 1of 12

FUI Prazer SI

KEY CREPT

NI

Nov
É ftp cat
EF TE

à de

pu
EIE
c c e a
gif
a

É
Prie E 1 SE
E
E EEÊ
Gão Graça Mose
E
pff
Payet Raro
a
iii
Per Ratio
PB
Earning
Return on Equity

raç o
Dividena GROWTH

ROE
9 PB
Dividend 0.5 PER quarter
Va 15 PER
YEAR

THIS IS A Castro STREAM with


perpetuity
no GROWTH

SINCE DIVIDENDS ARE PAID QUARTERLY E MOST

USE A QUARTERLY DISCOUNT RATE OF

It 11ha
ra
1.15 1
D
Pq

3.556
ftp
HENE

tifo 144J
P
Pao Ban 30 a EARNINGS

25 RETURN ON INVESTMENT

0.05
DIVIDEND
YIELD If
A THE Grant Rate Of Dividends AND EARNINGS 9
IS GIVEN By
Para BACK RATIO ROE
9
0.3 0.25 0.075

7.5J De

b WE KNOW THAT

P D

D N Dividend yield g
Df 19

D h 0.05 0.075 0.125 412.51J


Do
C IR FUTURE INVESTMENT OPPORTUNITIES HAVE DRIED
UP AND ALL EARNINGS ARE PAID AS AUDENAS

9 O AND POBACK RATIO O

THEN It MUST BE THE CASE THAT

Po no
II
COMPARING Po no to the Previous price Po

Pino Pepe

EPS

é

ii
si
42.98J ao
0.429 1
d IN PART C ALL FUTURE INVESTMENT

OPPO TUNITIES
ARE ASSOMED TO HAVE NPV O

HAVING A RATE OF RETURN THAT EQUALS THE

CAPITALIZATION RATE IS EQUIVALENT TO HAVING NPV O

THE SANE
THEREFORE THE Price impact SHOULD BE

AS ABOVE
42.94s

iii
a Knowing THAT

Roe

jam
AND

DPS EPS Payout Ratio

We Have

Roe
EI po.rs
EPI
ftp sf2
DPS ERS a Payout

2.50 0.20

DRSi
ES 0

HENCE

BE BE EPS DPS

10 2.8 0.50

Bei
1
Doing THE SAME FOR
YEAR
2

roer 0.25
EEI epi
ftp.z
DPS EPSZXDAYUTZ
3x 0.20
0.60J
BE BE EPS DPS

12 3 0.60

1.1440J
a 1
9
PE j
faz
DOING THE SAME FOR YEARS 3 AND 4 GES

Us

iitttitin

b r 12

g 9 8

THE name of The company's Stock Should BE

p
E pff

Em
titi
e

R 238

AT YEAR 3 THE Price win BE


C

is in
This value corresponds to AT YEAR O

31 22.07
Ás
WHICH REPRESENTS

IEE tr.SI
OF O NAVE
YEAR TA
d Without GROWTH he hold HAVE AT YEARS

B NG
PI Tf1 2027

THEREFORE WE MUST HAVE

PUGO PB PBNG
31 20.75

910.25m

WHICH IS WORTH AT T O

10.25
7.307
af
a

OPPORTUNITIES REPRESENT A
Titus GROWTH

same

size 130.0
7
OF O value
YEAR
A
C IF IT EARNS ONLY ITS COST OF CAPITAL IN

THE PUGO
YEAR 4 AND AFTER IT MEANS THAT

WE FOUND IS ALL LAST AT YEAR 3


THEREFORE THE NEW STOCK PRICE MOSTRE

Pro 23.81 7.30


Pz

816.51J
A

You might also like