Question
CORRECT ANSWERS NEEDED ASAP (Will Upvote!) You are a value investor and are interested in applying the historical average graham number to calculate the intrinsic
CORRECT ANSWERS NEEDED ASAP (Will Upvote!)
You are a value investor and are interested in applying the historical average graham number to calculate the intrinsic value of a stock. This company has earnings per share (EPS) of $3.75 and book value per share (BVPS) of $27.5. You have observed that the current P/E ratio of the company is 18.1, but its 5-year historical average is 16.5. You have observed that the current P/B ratio of the company is 2.57, but its 5-year historical average is 3.51. What is the estimated intrinsic value for this stock? State your answer as a dollar amount with two decimal places.
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