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second image = data table for the question Consider the following data for the airline industry for July 2018 (EV = enterprise value, Book -

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Consider the following data for the airline industry for July 2018 (EV = enterprise value, Book - equity book value) Suppose Alaska Air (ALK) has 123 million shares outstanding. Estimate Alaska Ait's share value using each of the five valuation multiples, based on the median valuation multiple of the other seven airlines shown (excluding Alaska Air). Calculate Alaska Air's share values using each of the five valuation multiples below: (Round the median to two decimal places. Round the share price to the nearest cent. Round the EV and market cap to the nearest integer.) EV/Sales 1.02 Alaska Air Median Implied EV Implied market cap Implied share price $ $ $ Data Table (Click on the following icon in order to copy its contents into a spreadsheet.) Market Enterprise Company Name Capitalization Value (EV) EV/Sales Alaska Air (ALK) 7,286 8,207 1.02x American Airlines (AAL) 17.879 37,327 0.87% Delta Air Lines (DAL) 35,580 44,164 1.02x Hawaiian (HA) 2,023 2,057 0.73% JetBlue Airways (JBLU) 5,450 5,814 0.80x SkyWest (SKYW) 2,909 5,040 1.56% Southwest Airlines (LUV) 30,318 30.691 1.44x United Continental (UAL) 21,961 31,393 0.80x Source: Capital EV/EBITDA 5.1x 5.7x 5.7x 3.4x 4.1x 7.2x 6.9x 5.7x EV/EBIT 6.7x 8.2x 8.Ox 4.1x 5.9x 12.6% 8.9x 9.2x P/E 7.7x 10.5% 10.8x 5.8x 4.9x 6.6x 8.6% 11.4x Forward P/E 12.5x 8.2x 8.8% 7.2x 10.8% 11.8x 12.3% 9.2x Print Done Get More Help

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