FergesonLearning is a retailer focused on education supplies. The company recently reported earnings per share of $4.37. Based on its recent price of $49.75 the company has a PE ratio of 11.38. The educational supplies industry PE ratio is 19.25.

Assuming that comparable industry companies are priced correctly the intrinsic value of Fergeson Learning's equity per share is:

Select one:

A.Priced correctly

B.Overvalued $34.39 per share

C.Undervalued $34.39 per share

D.Overvalued by $4.37 per share