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4. Lowes has an EPS of $2.53, an EBITDA of $8,126,000,000 and 812,000,000 shares outstanding. The average P/E of comparable companies is 14.9 and
4. Lowes has an EPS of $2.53, an EBITDA of $8,126,000,000 and 812,000,000 shares outstanding. The average P/E of comparable companies is 14.9 and it's EV-EBITDA multiple is 9.8. Lowe's net debt is $21,794,000,000. Estimate Lowe's stock price using: a) P/E as a valuation multiple (2 Points) b) EV-EBITDA as the valuation multiple (2 Points) 5. Explain the difference between call and put options. Why would someone buy an option? (2 Points)
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