EXCEL

2. You want to find out the share price of your company using relative valuation multiples. The valuation ratios for your comparable firms is as below. CompA CompB Compc CompD P/E 4.1 5.4 6.3 8.1 EV/EBITDA 3.5 8.12 4.5 5.4 EV/EBT 7.2 6.4 5.3 6.5 You expect to sell 1,000,000 Units of your product at $99.99 per unit. You have 10,000,000 shares outstanding. EBITDA will be 50% of gross sales. Depreciation will be 10% of EBDITA. You have debt of 10,000,000 at an interest rate of 8% per annuum. Assume tax rate is 21% and the current EV is 100,000,000. Assume the cash on balance sheet is 2,500,000. A. What is the share price of your company now? B. What is the suggested share price according to the mean and median of each of the three ratios? C. What are some of the reasons for the disparity in your answers in A and today's price in B 2. You want to find out the share price of your company using relative valuation multiples. The valuation ratios for your comparable firms is as below. CompA CompB Compc CompD P/E 4.1 5.4 6.3 8.1 EV/EBITDA 3.5 8.12 4.5 5.4 EV/EBT 7.2 6.4 5.3 6.5 You expect to sell 1,000,000 Units of your product at $99.99 per unit. You have 10,000,000 shares outstanding. EBITDA will be 50% of gross sales. Depreciation will be 10% of EBDITA. You have debt of 10,000,000 at an interest rate of 8% per annuum. Assume tax rate is 21% and the current EV is 100,000,000. Assume the cash on balance sheet is 2,500,000. A. What is the share price of your company now? B. What is the suggested share price according to the mean and median of each of the three ratios? C. What are some of the reasons for the disparity in your answers in A and today's price in B