Provide a variety of possible share valuations for Whitbread plc
Scenario:
Whitbread plc is a hospitality company that operates hotels, coffee shops andrestaurants. There are two distinct segments; Hotels and Restaurants and Costa.Whitbread’s brands include Beefeater, Brewers Fayre, Table Table andWhitbread Inns. They operate over 730 Premier Inns, over 2000 coffee shops inthe UK, and have over 1,200 coffee stores internationally. Recently, following astrict cost management policy, Whitbread have made market share gains and increased their revenues and profits (The Financial Times, 24th October, 2017). Whitbread plc have continued to make increases to their dividends and their share price as at 24th October 2017 is £3,759. Whitbread plc has a market
capitalization of around £7.23 bn and its shares are traded on the main market of the London Stock Exchange.
Data sources:
Whitbread plc website provides information useful for investors, including the latest annual and interim reports, dividend information, and information about their plans. You can also find useful information on the London Stock Exchange website. Both sources are book marked on your Aspire reading list. Required: From the perspective of an existing investor in a small number of shares, you are
required to provide a variety of possible share valuations for Whitbread plc as at the end of February 2018. Your share valuations should include the use of the following methods:
– Assets
– Dividends
– Cash flows
– P:E ratio
Answer preview:
Words: 1,876