Final answer:
To calculate the annual percentage growth rate of a stock, you use the CAGR formula. For the given company, from 2012 to 2018, it would be approximately 28.93% annually. To assess the effect of a name change, one should analyze immediate stock performance and branding strategy following the change.
Step-by-step explanation:
Calculating Annual Percentage Growth Rate
The annual percentage growth rate can be calculated using the formula for compound annual growth rate (CAGR). The formula is CAGR = ((End Value/Beginning Value)^(1/Number of Years)) - 1. Using the given stock prices of $15.64 per share in 2012 and $63.49 per share in 2018, the CAGR is (($63.49/$15.64)^(1/6)) - 1 which is approximately 0.2893 or 28.93% annual growth.
Comparing Stock Performance
Comparing the company's stock performance to industry averages would require access to industry performance data from the relevant time period. For insightful comparison, one would compare the stock's 28.93% annual growth to the average annual growth rates of other companies within the same industry.
Identifying Contributing Factors
Several factors could contribute to the stock price increase, including the company's financial performance, market expansion, product development, and overall industry trends. Specific details or events during this time would provide more insight into the reasons for the stock's growth.
Evaluating Impact of Name Change
Evaluating the impact of a company name change on stock value typically involves looking at the stock's performance immediately following the name change and any branding or strategic positioning shifts that came with it. If the stock price rose significantly after the name change, it could suggest a positive investor response to the rebranding efforts.