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Assume that the following quote for the Walt Disney Company, a NYSE stock, appea

ID: 2817109 • Letter: A

Question

Assume that the following quote for the Walt Disney Company, a NYSE stock, appeared on May 1, 2015 (Friday) on Yahoo! Finance (http://finance.yahoo.com/q?s=DIS&ql=1): The Walt Disney Company (DIS) - NYSE 110.52 1.80 (1.66%) May1, 4:01PM EDT Prev Close: 108.72 Day's Range: 109.27 - 110.67 Open: 109.79 52wk Range: 78.54 - 111.66 Bid: 110.81 x 400 Volume: 6,205,116 Ask: 110.95 x 500 Avg Vol (3m): 6,394,880 1y Target Est: 110.23 Market Cap: 187.84B Beta: 1.1 P/E (ttm) 24.57 Next Earnings Date: 5-May-15 EPS (ttm): 4.50 Div & Yield: 1.15 (1.10%) Given this information, answer the following questions. At what price did the stock sell at the time of the quote? $ What is the stock's price/earnings ratio? What does that indicate? Round your answers to the nearest whole number. This means that investors are willing to pay more than $ for every $1 of earnings per share that the company generated last year. What is the last price at which the stock traded on the prior trading day? $ What's the stock's dividend yield? % What are the highest and lowest prices at which the stock traded during the latest 52-week period? Highest price $ Lowest price $ How large is the market capitalization of the company? $ billion

Explanation / Answer

1. Stock Price = 110.52

2. Price/ earnings ratio = 24.57

3. last price = 110.52 - 1.80 = 108.72

4. dividend yield = 1.10%

5. highest = 111.66

lowest = 78.54

6. market cap = 187.84 billion

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