What is the target stock price in one year

Assignment Help Financial Management
Reference no: EM13876144

Fly Away, Inc., has balance sheet equity of $6.9 million. At the same time, the income statement shows net income of $855,600. The company paid dividends of $419,244 and has 120,000 shares of stock outstanding. If the benchmark PE ratio is 33, what is the target stock price in one year?

Reference no: EM13876144

Questions Cloud

How much money can be withdrawn at the end : How much money can be withdrawn at the end of 20 years if $6,000 is deposited at the end of each year for 12 years, and no deposits are made after, where the fund earns 7.5 percent?
What is the book value of shareholders equity : Seven years ago sara distributors purchased a mailing machine at the cost of $368000.This equipment is currently valued at $172200 on today’s balance sheet but could actually be sold for $211400 .this is the only fixed assets the firm owns.net workin..
What is the future value of these investment cash flows : Trigen Corp. management will invest cash flows of $331,000, $616,450, $212,775, $818,400, $1,239,644, and $1,617,848 in research and development over the next six years. If the appropriate interest rate is 6.75 percent, what is the future value of th..
Current ratio-debt-equity ratio and return on investment : Ford Motor Company, Inc. Is the company maximizing the wealth of its shareholders? If not, what can they do to achieve this result? Review calculations and discussion of the following 6 ratios and financial measures: Current Ratio, Debt/Equity Ratio,..
What is the target stock price in one year : Fly Away, Inc., has balance sheet equity of $6.9 million. At the same time, the income statement shows net income of $855,600. The company paid dividends of $419,244 and has 120,000 shares of stock outstanding. If the benchmark PE ratio is 33, what i..
Develop a list of attitudes towards three brands : In chapter 7 of your textbook, Daniel Katz's functional theory of attitudes is discussed. For each of the four functions discussed, develop a list of attitudes towards three brands that you have had experience with. Have your attitudes changed ov..
Calculate the free cash flow : Ford Motor Company, Inc. Determine Ford’s consolidated free cash flow. Make a prediction as to what the company’s stock price would be in three (3) months. Review analysts’ estimates and predictions for the past year. 1. Calculate the free cash flow
Calculate equity ratio and weighted average cost of capital : Ford Motor Company, Inc. Capital structure. Review Ford’s consolidated financial statements. Calculate the company’s debt/equity ratio and the earnings per share & return on investment and the weighted average cost of capital. What is the meaning of ..
Describe the scenario : Describe the student's behavior that you wish to influence. Describe how you would use feedback and praise with your student to elicit the desired behavior.

Reviews

Write a Review

Financial Management Questions & Answers

  Correlation between the returns of the two stocks

Based on the following information determine the covariance and correlation between the returns of the two stocks.

  What is the expected return on the mutual fund

Consider the following capital market: a risk-free asset yielding 1.00% per year and a mutual fund consisting of 65% stocks and 35% bonds. The expected return on stocks is 11.75% per year and the expected return on bonds is 4.25% per year. What is th..

  Companys capital structure consists of debt

Hook Industries' capital structure consists solely of debt and common equity. It can issue debt at rd = 8%, and its common stock currently pays a $3.00 dividend per share (D0 = $3.00). The stock's price is currently $26.00, its dividend is expected t..

  Requirement for a code of ethics in the civil service

Requirement for a Code of Ethics in the Civil Service

  What was the companys change in net working capital

The December 31, 2013, balance sheet of Maria’s Tennis Shop, Inc., showed current assets of $1,065 and current liabilities of $895. The December 31, 2014, balance sheet showed current assets of $1,280 and current liabilities of $955. What was the com..

  Invest in corporate bond with face value

You want to invest in a corporate bond with a face value of $1,000, a coupon rate of 8% per year, and 10 years to maturity. The current annual yield to maturity of this bond is 6%. What is the current value of the bond, assuming interest is paid once..

  What is the present value of the futures contract in dollar

Treasury bond futures contract settles at 105'8. What is the present value of the futures contract in dollars? Calculate the implied annual interest rate on the futures contract? Calculate the new value of the futures contract if interest rates incre..

  Assumes reinvestments of interim cash flows

In capital budgeting, the IRR implicitly assumes reinvestments of interim cash flows at the IRR itself. First, discuss why this assumption is problematic. Then, explain how MIRR address this issue by presenting your own unique example with proper cal..

  What is the bid asked spread in dollars

what is its current yield. what is its YTM. what is the bid asked spread in dollars.

  Company stays solvent and is not too liquid

As a financial manager, what can you do to make sure your company stays solvent and is not too liquid? How do you determine if the company has too much liquidity?

  Present value and future value annuities and annuity dues

Discuss present value and future value annuities and annuity dues. What is the timing of cash flows? What are their differences? What are the advantages of both? How are they used by financial management?

  What rate should shop report-what is effective annual rate

Ricky Ripov’s Pawn Shop charges an interest rate of 15 percent per month on loans to its customers. Like all lenders, Ricky must report an APR to consumers: What rate should the shop report? (Round your answer as directed, but do not use rounded numb..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd