Question

Your company's board of directors expects you and your co-managers to achieve improved company performance outcomes that include ongoing increases in the company's stock price. Your company's stock price is a function of:
O two factors earnings per share growth and growth in the annual dividend paid shareholders.
O three factors earnings per share growth, your company's global market shares for both action cameras and UAV drones, and the average size of the annual increases in the dividend paid to shareholders.
O earnings per share growth, average ROE, credit rating, the rate of growth in the annual dividend paid to shareholders, and management's ability to consistently deliver good results (as measured by the percentage of the 5 performance targets that your company achieves over the course of all of the completed decision rounds)
O three factors earnings per share growth, your company's credit rating, and the rate of growth in the annual dividend paid to shareholders
O earnings per share growth, image rating, the rate of growth in the annual stock sold to shareholders, and management's ability to consistently deliver good results (as measured by the percentage of the 5 performance targets that your company achieves over the course of all of the completed decision rounds)

Answer 1

Answer:

Your company's stock price is a function of:

- Grow earnings per share.

- Grow average return on equity investment (ROE)

- Achieve stock price gains

- Maintain a healthy credit rating

- Achieve an image rating (brand reputation)

Explanation:

Stock price is a function of revenue growth, earnings per share growth, average ROE, credit rating, the rate of growth in the annual dividend paid to shareholders, and management’s ability to consistently deliver good results (as measured by the percentage of each year’s 5 performance targets that your company achieves).

The company´s stock price is tied to to meet company’s performance management team targets.

- Grow earnings per share.

- Grow average return on equity investment (ROE). Average ROE is defined as net income divided by the average of total shareholder equity balance at the beginning of the year and the end of the year.

- Achieve stock price gains within reach if the company meets or beats the annual EPS targets, achieves the targeted rates of return on shareholders’ equity (ROE), rewards shareholders with growing dividends, and uses its financial capabilities cautiously to repurchase shares of stock.

- Maintain a healthy credit rating.

- Achieve an image rating  or brand reputation, which is a function of  the company’s P/Q ratings for action cameras and UAV drones, for company’s global market shares for both action cameras and UAV drones, and company’s actions to display corporate citizenship and conduct operations in a socially responsible path.