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All coecients in the following regressions are statistically significant. Which one of these regressions represents a sensible choice in adjusting the respective multiples? (a) PE
All coecients in the following regressions are statistically significant. Which one of these regressions represents a sensible choice in adjusting the respective multiples?
(a) PE = 17 (5 Growth).
(b) PB = 1 + (2 ROE).
(c) PS = 3 (4 Net Profit Margin).
(d) EV/Capital = 2 + (5 ROC) (3 Growth).
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