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Company A and Company B are competitors. Using the data provided below, explain which stock is more attractively valued. Show your calculations to earn full
Company A and Company B are competitors. Using the data provided below, explain which stock is more attractively valued. Show your calculations to earn full credit.
Data | Company A | Company B |
Stock price ($) | 323.22 | 89.07 |
Share outstanding | 567,885,369 | 776,367,881 |
Earnings per share ($, last year) | 12.04 | 3.71 |
Earnings per share ($, forward estimate) | 18.12 | 5.58 |
EBITDA ($billion, last year) | 12.4 | 6.55 |
EBITDA ($billion, forward estimate) | 15.8 | 8.79 |
Total debt ($billion) | 11.88 | 11.14 |
Minority interest ($billion) | 0.08 | 0.00 |
Cash & equivalent ($billion) | 9.99 | 20.23 |
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