首页
外语
计算机
考研
公务员
职业资格
财经
工程
司法
医学
专升本
自考
实用职业技能
登录
外语
Sometimes, over a span of many years, a business will continue to grow, generating ever-increasing amounts of cash, repurchasing
Sometimes, over a span of many years, a business will continue to grow, generating ever-increasing amounts of cash, repurchasing
admin
2011-04-21
63
问题
Sometimes, over a span of many years, a business will continue to grow, generating ever-increasing amounts of cash, repurchasing stock, paying increased dividends, reducing debt, opening new stores, expanding production facilities, moving into new markets, etc. , while at the same time its stock price remains stagnant (or even falls).
When this happens, the average and professional investors alike tend to overlook the company because they become familiar with the trading range.
Take, for example, Wal-Mart. Over the past five years, the retailing behemoth has grown sales by over 80%, profits by over 100%, and yet the stock price has fallen as much as 30% during that timeframe. Clearly, the valuation picture has changed. An investor that read the annual report back in 2000 or 2001 might have passed on the security, deeming it too expensive based on a metric such as the price to earnings ratio. Today, however, the equation is completely different—despite the stock price, Wal-Mart is, in essence, trading at half its former price because each share is backed by a larger dividend, twice the earnings power, more stores, and a bigger infrastructure. Home Depot is in much the same boat, largely because some Wall Street analysts question how fast two of the world’s largest companies can continue to grow before their sheer size slows them down to the rate of the general economy.
Coca-Cola is another excellent example of this phenomenon. Ten years ago, in 1996, the stock traded between a range of $ 36. 10 and $ 54. 30 per share. At the time, it had reported earnings per share of $ 1. 40 and paid a cash dividend of $ 0. 50 per share. Corporate per share book value was $2. 48. Last year, the stock traded within a range of $40. 30 and $ 45. 30 per share; squarely in the middle of the same area it had been nearly a decade prior! Yet, despite the stagnant stock price, the 2006 estimates Value Line Investment Survey estimates for earnings per share stand around $ 2. 16 (a rise of 54%), the cash dividend has more than doubled to $1.20, book value is expected to have grown to $ 7. 40 per share (a gain of nearly 300%), and the total number of shares outstanding (未偿付的,未完成的) has actually decreased from 2. 481 billion to an estimated 2. 355 billion due to the company’s share repurchase program.
According to the author, one had better______.
选项
A、buy more shares when the stock price falls down
B、sell out the shares when the stock price falls down
C、do some research on the value of a business when its stock price falls down
D、invest in the business when its stock price falls down
答案
C
解析
推理题。作者在整篇文章中都是在介绍和讨论股票价格的涨跌与公司的关系,没有明确说应该什么时候买入或卖出股票,因此,正确答案是C选项,C选项的意思是当股票价格下跌的时候,人们应该研究该公司的价值,也就说作者赞成人们做价值投资。
转载请注明原文地址:https://kaotiyun.com/show/F4BO777K
0
考博英语
相关试题推荐
•Lookatthenotesbelow.Itshowsdifferentjobsthatdifferentdepartmentscando.•Forquestions6-10decidewhichdepartme
•Readthearticleabouttheminutes.•Choosethebestwordtofillineachgap,fromA,BorC.•Foreachquestion(29-40),m
•Readthearticlebelowaboutproblemsindoinginternationaltrade.•Foreachquestion23-28ontheoppositepage,choosethec
WhySeeingisSucceedingLeeChungoftheSeattleBusinessInstituteexplainsTherearesomeexecutiveswho
Lookatthechartbelow.Itshowsarestaurant’sincome,totalexpenditureandadvertisingcostsduringaneight-monthperiod.W
Lookatthegraphsbelow.Theyshowunemploymentineightdifferentregionscomparedtothenationalaverage.Whichregiondoes
Inthispart,youareexpectedtowriteacompositionentitled"LookingForwardtotheNewReformofCollegeEnglishinChina"i
Theeffectofthebabyboomontheschoolshelpedtomakepossibleashiftinthinkingabouttheroleofpubliceducationinthe
Thegovernmenthastodecidewhethercostorconcernfortheenvironmentshouldtake______whenchoosingtherouteforthenew
Heplaystennistothe______ofallothersports.
随机试题
汽油发动机点火系按其组成和产生高压电的方式不同可分为_______、_______、_______和_______。
MCS-51指令系统中direct表示的含义是:______。
简述我国社会主义市场经济体系的特征。
与质量管理的目标无关的是
男性,40岁,在试戴金属冠时,反映戴上右侧后牙冠时,咬合时下颌有偏移,去除冠后无上述情况发生。临床检查发现:右侧上颌第一磨牙金属冠的颊尖舌斜面有咬合滑走印迹。导致患者下颌在咬合发生偏移的主要原因是
首先提出肾与腰部疾病密切相关的医著是
决定红细胞血型的物质是()
某企业擅自将防治污染的设施拆除,当地环保部门在例行检查中发现该企业污染物排放超过国家排放标准,于是立即下达对该企业的行政处罚,处罚内容是责令该企业重新安装使用防污设施,并处以5000元罚款,请根据我国现行《环境保护法》判断下列哪种说法正确?()
在以下关于综合规划的描述中,正确的是()。
琪琪和表姐小薇差半岁,同时上了幼儿园小班。由于小薇爸爸妈妈工作忙,不久她被送到了小镇上奶奶家。小镇幼儿园的老师非常强调知识学习,一年后,小薇已经能认许多字,而琪琪却整天沉浸在游戏中,几乎不用学习,一个字也不认得。爸爸妈妈开始为此担心,怕幼儿园这样的教学会影
最新回复
(
0
)