Referring to Chapter 9 of Ross, Westerfield, and Jaffe (2016), comment on possible reasons the...

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Finance

Referring to Chapter 9 of Ross, Westerfield, and Jaffe (2016), comment on possible reasons the analysts projected a one year target price of $105.01.

How is the Market Cap, dividend yield and PE ratio computed for the stock?

The current industry average ( peer group) PE ratio for KMB is 81.19. Based on the PE ratio comparison with the industry, would you consider KMB stock to be currently overvalued or undervalued?

Does the capital structure or debt of KMB ( Financial statement information of KMB may be obtained from the Financials link on Yahoo Finance for KMB) concern you in recommending this stock to an investor?

Why or why not?

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