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A. Value a stock of any publicly traded firm in US or Canada using enterprise value / sales ratio. Show all calculations by hand. B.

A. Value a stock of any publicly traded firm in US or Canada using enterprise value / sales ratio. Show all calculations by hand. B. Use free cash flow to the firm (free cash flow to equity if your firm is a financial institution) to value a company of your choice. Use both a one-stage and a two-stage model. C. Compare your valuation with market stock price. Is the firm overvalued or undervalued? Part D. What is the major criticism of valuations based on multiples? Note: when we criticize valuation models, we criticize assumptions. What do we assume when we use multiples? For industry enterprise value / sales ratio, use either Damodarans website (pages.stern.nyu.edu/~adamodar), or average for a subsample of ten firms in the industry of your choice. If you estimate multiple using your own dataset, show your estimates.

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