Answer the following questions. The upper word limit is 700 English words. Please cite references where necessary. Do not type the questions again in your write-up.

The directors of Valeo are considering horizontal expansion of the company by acquiring another thermal systems company that manufactures and installs commercial heating, ventilation and cooling units. After investigating several possible companies, the directors consider that Ragan Thermal Systems is a possibility.

Ragan Thermal Systems is a privately owned company and equally owned by a couple. Ragan has experienced rapid growth in the recent few years. The couple owns 50,000 shares each.

The directors have asked an analyst to determine the value per share of Ragan stock. The analyst has gathered the following information about some of Ragan's competitors that publicly traded: