Select a company and determine its current stock price. Compare the current price to its recent...

Select a company and determine its current stock price. Compare the current price to its recent activity and to at least one other similar company in the same industry or line of business. Discuss possible reasons for increases or decreases in your stock's price and its standing with its competitor.

Solutions

Expert Solution

IBM

current stock price$133M

IBM has sold off most of its computing hardware operations to double down ona basket of high growth businesses known as the company's strategic imperatives. The best strategiv imperatives of the company is combination of cloud computing, data security, artificial intellitence and mobile technologies combined for $33 billion of the company's $80 billion in top line revenues in 2016 and increased in over half in 2018

The current stock price of HPQ is $34m.

HPE is still slogging through the sluggish enterprise. Last quarter, its Enterprise Groups revenue dropped by 12%annually to $6.2 billion, it enterprise services revenue fell 11% to $4billion and its software revenue and reduced to *% and financial services revenue slipped 6%.

The reasons for this is weak enterprise spending, competition from nimbler rivals, and a market shift toward cloud based solutions. Better business is required

ekkarill92 answered 1 year ago

Next > < Previous

Related Solutions

The current price of a stock is $80, and at the end of one year its...

The current price of a stock is $80, and at the end of one year its price will be either $88 or $72. The annual risk-free rate is 3.0%, based on daily compounding. Based on the binominal model, what is the present value for a 1-year call option on this stock with an exercise price of $86?

The current price of a stock is $22, and at the end of one year its...

The current price of a stock is $22, and at the end of one year its price will be either $29 or $15. The annual risk-free rate is 5.0%, based on daily compounding. A 1-year call option on the stock, with an exercise price of $21, is available. Based on the binominal model, what is the option's value?

The current price of Kilot Corporation is $30.00. Its stock price will either go up by...

The current price of Kilot Corporation is $30.00. Its stock price will either go up by 30% or down by 30% in one year. The stock has no dividends. The one year risk free rate is 4%. Using the binomial model, calculate the price of a one years put option on Kilot Stock with a strike price of $32. (show your calculations; use a binomial tree/timeline with two branches to summarize the information)

Eagletron's current stock price is $10. Suppose that over the current year, the stock price will...

Eagletron's current stock price is $10. Suppose that over the current year, the stock price will either increase by 95% or decrease by 45%. Also, the risk-free rate is 25 %25% (EAR). a. What is the value today of a one-year at-the-money European put option on Eagletron stock? b. What is the value today of a one-year European put option on Eagletron stock with a strike price of $ 19.50$19.50? c. Suppose the put options in parts (a) and (b)...

Select a recent strategic initiative (business or IT driven) at your current or recent employer (For...

Select a recent strategic initiative (business or IT driven) at your current or recent employer (For example, new product category/service launch, change in IT focus/capability, outsourcing/insourcing initiative, change in customer focus, etc.). Analyze the initiative, using the elements listed in the grading rubric below. : I. Description of the Initiative – II. Impact on the balance of the strategic triangle - III. Stakeholders and how they were impacted– IV. What worked really well -- V. What should have been done...

Analyze the stock price of the Amazon common stock. What is the current stock price? Is...

Analyze the stock price of the Amazon common stock. What is the current stock price? Is it currently overpriced or underpriced according to the CAPM model and the dividend growth model?). Please give a recommendation about whether to invest in Amazon or not based on the results and current situation.

Suppose you are a shareholder in a company. The current stock price is $25.00. Another company...

Suppose you are a shareholder in a company. The current stock price is $25.00. Another company is willing to purchase your firm and is offering $35.00 per share to do so. However, the management of your firm immediately begins to contest this hostile takeover bid asking shareholders to reject the offer. Provide one explanation for why management may be working against shareholders' interests and one explanation for how they may be working for shareholders' interest.

Which of the following statements is CORRECT? Select one: If the stock becomes riskier, its price...

Which of the following statements is CORRECT? Select one: If the stock becomes riskier, its price increases. When the yield curve is strictly downward sloping, the term spread must be negative. Legal tender is the provision that shields owners of a corporation from losing more than what they have invested in the firm. The market capitalization of a corporation is the total market value of its stocks and bonds.

A company current stock price at RM16.00, the exercise price atRM17.00. If government bond yield...

A company current stock price at RM16.00, the exercise price at RM17.00. If government bond yield is 10%, and the company’s share prices volatile at 35% in annualised form. The company does not pay any dividend. Using the Black-Scholes option pricing model, calculate:(i) the fair value for a RM17.00 call option with 90 days to maturity.(ii) the fair value for a RM17.00 put option with 90 days to maturity.

A company current stock price at RM16.00, the exercise price at RM17.00. If government bond yield...

A company current stock price at RM16.00, the exercise price at RM17.00. If government bond yield is 10%, and the company’s share prices volatile at 35% in annualised form. The company does not pay any dividend. Using the Black-Scholes option pricing model, calculate: (i) the fair value for a RM17.00 call option with 90 days to maturity. (ii) the fair value for a RM17.00 put option with 90 days to maturity. (9 Marks in total)

Subjects