Question: Just need helping solving for part C, the PVGO The market consensus is that Analog Electronic Corporation has an ROE of 9% and a beta

Just need helping solving for part C, the PVGO Just need helping solving for part C, the PVGO The market

The market consensus is that Analog Electronic Corporation has an ROE of 9% and a beta of 1.25. It plans to maintain indefinitely its traditional plowback ratio of 2/3. This year's earnings were $3 per share. The annual dividend was just paid. The consensus estimate of the coming year's market return is 14%, and T-bills currently offer a 6% return. a. Find the price at which Analog stock should sell. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Answer is complete and correct. Price $ 10.60 b. Calculate the P/E ratio. (Do not round intermediate calculations. Round your answers to 2 decimal places.) Answer is complete and correct. Leading Trailing P/E ratio 3.33 3.53 c. Calculate the present value of growth opportunities. (Negative amount should be indicated by a minus sign. Do not round intermediate calculations. Round your answer to 2 decimal places.) Answer is complete but not entirely correct. PVGO $ 6.63 X

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