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Company A shares are currently trading at $20 per share. A survey of Wall Street analysts reveals that EPS expectations for Company A for the

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Company A shares are currently trading at $20 per share. A survey of Wall Street analysts reveals that EPS expectations for Company A for the full year 2014 are $1.50 per share. Company A has 200 million diluted shares outstanding. Company A's major competitors are trading at an average share price / 2014 Expected EPS of 15.ox. Using the comparable company analysis valuation method, Company A shares are: o Appropriately priced $2.50 per share overvalued O $2.50 per share undervalued O Need more information Next Back Presch Home End 19

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