答案和详解如下： 1.For which of the following firms is the PEG ratio most appropriate for identifying undervalued or overvalued equities? Firm A: expected dividend growth = 6%. Cost of equity = 12%, P/E = 12.
Firm B: expected dividend growth = -6%. Cost of equity = 12%, P/E = 12.
Firm C: expected dividend growth = 1%. Cost of equity = 12%, P/E = 12.
Firm D: expected dividend growth = 0%. Cost of equtiy = 12%, P/E = 12. A) Firm B. B) Firm C. C) Firm A. D) Firm D. The correct answer was C) The formula for the PEG ratio is: PEG = (P/E) / g. It measures the tradeoff between P/E and expected dividend growth (g). For traditional growth firms, PEG ratios fall between 1 and 2. The general rule is that PEG ratios above 2 are indicative of overvalued firms (expensive), and PEG ratios below 1 are indicative of firms that are undervalued (cheap). Firm A: | PEG = 2, indicating a stock that is appropriately priced. | Firm B: | The PEG ratio of firms with negative expected dividend growth is negative, which is meaningless. For Firm B, PEG = -2. | Firm C: | Firms with very low expected dividend growth are likely to have PEG ratios that unrealistically indicate overvalued stocks. For Firm C, PEG = 12. | Firm D: | The PEG ratio for firms with zero expected dividend growth is undefined due to division by zero. For Firm D, PEG = infinity, or is undefined. |
2.At a CFA society function, Andrew Caza comments to Nanda Dhople that the expected dividend growth rate (g) for Zeron Enterprises Inc (ZEI) is expected increase 0.5% from 6% to 6.5%. Caza claims that since ZEI will maintain their historic dividend payout ratio (g) of 50% and cost of equity (k) of 10%, ZEI's P/E ratio will also increase by 0.5%. Is Caza correct? A) No, ZEI's P/E ratio will decrease by approximately 14.32%. B) Yes, ZEI's P/E ratio will increase by approximately 0.5%. C) No, ZEI's P/E ratio will decrease by approximately 12.53%. D) No, ZEI's P/E ratio will increase by approximately 14.32%. The correct answer was D) Caza is not correct. P/EZEI = payout ratio / (k - g)
When the expected dividend growth is 6%, P/E = 0.50 / (0.10 - 0.06) = 12.50
When the expected dividend growth is 6.5%, P/E = 0.50 / (0.10 - 0.065) = 14.29
The percentage change is (14.29 / 12.50) - 1 = 14.32%, representing a 14.32% increase. 3.At a CFA society function, Robert Chan comments to Li Chiao that the expected dividend growth rate for Xanedu Industries has decreased 0.5% from 6.0% to 5.5%. Chan claims that since Xanedu will maintain their historic dividend payout ratio (g) of 40% and cost of equity (k) of 12%. Xanedu's P/E ratio will also decrease by 0.5%. Is Chan correct? A) No, Xanedu's P/E ratio will decrease by approximately 7.8%. B) No, Xanedu's P/E ratio will increase by approximately 7.8%. C) Yes, Xanedu's P/E ratio will increase by approximately 0.5%. D) No, Xanedu's P/E ratio will increase by approximately 5.8%. The correct answer was A) Chan is not correct. P/EXanedu = payout ratio / (k - g)
When the expected dividend growth is 6%, P/E = 0.40 / (0.12 - 0.06) = 6.67
When the expected dividend growth is 5.5%, P/E = 0.40 / (0.12 - 0.055) = 6.15
The percentage change is (6.15 / 6.67) - 1 = -7.80%, representing a 7.80% decrease. | 
发表于 2008-5-19 13:39
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