Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Suppose that in April 2019, Nike Inc. had sales of $36,388 million, EBITDA of $5,229 million, excess cash of $5,248 million, $3,809 million of debt,

image text in transcribed Suppose that in April 2019, Nike Inc. had sales of $36,388 million, EBITDA of $5,229 million, excess cash of $5,248 million, $3,809 million of debt, and 1,569.5 million shares outstanding. a. Using the average enterprise value to sales multiple in the table here, , estimate Nike's share price. b. What range of share prices do you estimate based on the highest and lowest enterprise value to sales multiples in the table above? c. Using the average enterprise value to EBITDA multiple in the table above, estimate Nike's share price. d. What range of share prices do you estimate based on the highest and lowest enterprise value to EBITDA multiples in the table above? Data table (Click on the following icon in order to copy its contents into a spreadsheet.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Volatility Trading

Authors: Euan Sinclair

2nd Edition

1118347137, 9781118347133

More Books

Students also viewed these Finance questions

Question

What do you call your problem (or illness or distress)?

Answered: 1 week ago

Question

What does this public think about this issue?

Answered: 1 week ago

Question

What benefits can you offer this public?

Answered: 1 week ago

Question

How free does this public see itself to act on this issue?

Answered: 1 week ago