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Answer :
The appropriate stock price for Tesla, given an earnings per share of $1.10 and a benchmark PE of 39.1 times, can be found by multiplying these two values together. This calculation results in a stock price of $43.01.
The stock price that would be appropriate for Tesla, given an earnings per share of $1.10 and a benchmark PE of 39.1 times, can be calculated using the formula:
Stock Price = Earnings per Share (EPS) × Price to Earnings (PE) Ratio.
By substituting the known values into the formula, we get:
Stock Price=$1.10 × 39.1, which equals $43.01.
Therefore, based on these factors, an appropriate stock price for Tesla would be $43.01.
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