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An investor is considering buying shares of XYZ limited. He has identified three companies that are in the same industry as XYZ. Data for

An investor is considering buying shares of XYZ limited. He has identified three companies that are in the same industry as XYZ. Data for the companies are shown below: Comparable company data Current stock price Earnings Per Share XYZ ? Sh. 1.75 Comparable 1 Sh. 54 Sh. 2.8 Required Calculate the share price for XYZ Limited (2 marks) Comparable 2 Sh. 36.5 Sh. 2.1 Comparable 3 Sh. 108.2 Sh. 6.5

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