The following variables are for the drug store industry. Based entirely on subjective analysis, do you think Walgreens i
Posted: Mon May 02, 2022 9:07 am
The following variables are for the drug store industry. Based
entirely on subjective analysis, do you think Walgreens is
overpriced because its P/S ratio is the highest in the industry?
What is the danger in doing so?
1.) There may be other firms that are more overvalued.
2.) The valuation may be justified given its
characteristics.
Company P/S Profit Payout Exp. Beta Predicted Ratio Growth Margin P/S Arbor 0.42 3.40% 18% 14.00% 1.05 0.39904 Drugs Big B Inc. 0.30 1.90% 14% 23.50% 0.70 0.48704 Drug 0.10 0.60% 0% 27.50% 0.90 0.28121 Emporium Fay's Inc. 0.15 1.30% 37% 11.50% 0.90 0.34188 Genovese 0.18 1.70% 26% 10.50% 0.80 0.37292 Longs 0.30 2.00% 46% 6.00% 0.90 0.38680 Drug Perry 0.12 1.30% 0% 12.50% 1.10 0.14108 Drugs Rite Aid 0.33 3.20% 37% 10.50% 0.90 0.48487 Walgreen 0.60 2.70% 31% 13.50% 1.15 0.33992
entirely on subjective analysis, do you think Walgreens is
overpriced because its P/S ratio is the highest in the industry?
What is the danger in doing so?
- The Following Variables Are For The Drug Store Industry Based Entirely On Subjective Analysis Do You Think Walgreens I 1 (257.95 KiB) Viewed 29 times
2.) The valuation may be justified given its
characteristics.
Company P/S Profit Payout Exp. Beta Predicted Ratio Growth Margin P/S Arbor 0.42 3.40% 18% 14.00% 1.05 0.39904 Drugs Big B Inc. 0.30 1.90% 14% 23.50% 0.70 0.48704 Drug 0.10 0.60% 0% 27.50% 0.90 0.28121 Emporium Fay's Inc. 0.15 1.30% 37% 11.50% 0.90 0.34188 Genovese 0.18 1.70% 26% 10.50% 0.80 0.37292 Longs 0.30 2.00% 46% 6.00% 0.90 0.38680 Drug Perry 0.12 1.30% 0% 12.50% 1.10 0.14108 Drugs Rite Aid 0.33 3.20% 37% 10.50% 0.90 0.48487 Walgreen 0.60 2.70% 31% 13.50% 1.15 0.33992