Walmart's Current Earnings Per Share of $4

question 89

Essay

Walmart's current earnings per share of $4.60 are expected to grow only at a rate of 2% per year for the next few years. Using a P/E ratio of 15, what is a reasonable value for a share of Walmart Stock.

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Definitions:

Mescaline

A hallucinogen derived from the mescal (peyote) cactus.

Hallucinogenic

Pertaining to substances that induce alterations in perception, thinking, and feeling, often resulting in visual or auditory hallucinations.

Stimulant

A drug that increases activity of the nervous system.

Depressant

A drug that lowers the rate of activity of the nervous system.