Sandy has owned 400 shares in Pepper pic for four years and is concerned that he has received no dividends during that time although he believes that the company is doing well. He has been provided with Table 4.1 containing information for Pepper pic over the last four years.

	Year 1	Year 2	Year 3	Year 4
Earnings per share (Php)	40.0	40.50	60.1	70.1
Share price at year end (Php)	360.0	400.50	660.40	65.10

 

Required:

1. Comment on the company's eps over the last four years.
2. Calculate P/E ratio at each of the four year ends and interpret your findings.
3. Calculate TSR (total shareholder return) for the last two years and comment on your findings.
4. Comment on Sandy's disappointment over the lack of dividends during the last four years.

Answer rating: 100% (QA)

Comment on the companys eps over the last four years The companys earnings per share have generally ... View the full answer