首页 | 学习中心 | 注册 登录
返回列表 发帖
土豆妮

UID
137525 
帖子
5724 
主题
885 
注册时间
2009-7-1 
最后登录
2011-3-29 
1# 跳转到 » 倒序看帖
打印
tT
发表于 2010-4-19 15:32 | 只看该作者

Reading 42: Market-Based Valuation: Price and Enterprise Val

2010, interpret, center, income, style
Session 12: Equity Investments: Valuation Models
Reading 42: Market-Based Valuation: Price and Enterprise Value Multiples

LOS f: Describe, calculate, and interpret underlying earnings, given earnings per share (EPS) and nonrecurring items in the income statement.

 

 

 

Alpha Software (AS) recently reported a representative annual earnings per share (EPS) of $1.75, which included an extraordinary loss of $0.19 and an expense of $0.10 related to acquisition costs during the accounting period, neither of which are expected to recur. Given that the most recent share price is $65.00, what is a useful AS’s trailing price to earnings (P/E) for valuation purposes?

A)
 37.14.
B)
 44.52.
C)
 31.86.


 

Using an underlying earnings concept, an analyst would add back the temporary charges against earnings: $1.75 + $0.19 + $0.10 = $2.04. The resulting trailing P/E = 65.00 / 2.04 = 31.86.

收藏 分享

土豆妮

UID
137525 
帖子
5724 
主题
885 
注册时间
2009-7-1 
最后登录
2011-3-29 
2#
发表于 2010-4-19 15:32 | 只看该作者

Glad Tidings Gifts (GTG) recently reported a representative annual earnings per share (EPS) of $2.25, which included an extraordinary loss of $0.17 and an expense of $0.12 related to acquisition costs during the accounting period, neither of which are expected to recur. Given that the most recent share price is $50.00, what is a useful GTG’s trailing price to earnings (P/E) for valuation purposes?

A)
 22.22.
B)
 25.51.
C)
 19.69.


Using an underlying earnings concept, an analyst would add back the temporary charges against earnings: $2.25 + $0.17 + $0.12 = $2.54. The resulting trailing P/E = 50.00 / 2.54 = 19.69.

TOP

土豆妮

UID
137525 
帖子
5724 
主题
885 
注册时间
2009-7-1 
最后登录
2011-3-29 
3#
发表于 2010-4-19 15:33 | 只看该作者

Underlying earnings may be defined as earnings:

A)
 that include non-recurring components.
B)
 net of capital expenditures needed to keep the business productive.
C)
 that exclude non-recurring components.


Underlying earnings are earnings that exclude non-recurring items. They are also known as persistent, continuing, or core earnings.

TOP

返回列表