1. A stock trades for $91 has a book value per share of $35, analysts’ EPS forecast for year 1 is $14. The required return is 14%. What is the speculative value implied by the observed market price?
2. I'm taking a management of financial institutions course and struggling to find corresponding information on "Book value to Sales (Total Revenue) Ratio". Can anyone explain this ratio in great detail? I understand how to calculate this ratio but don't understand the correlation/reasoning of this ratio.