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Suppose that Texas Trucking ( TT ) has earnings per share of $ 3 . 6 5 and EBITDA of $ 5 5 million. TT
Suppose that Texas Trucking TT has earnings per share of $ and EBITDA of $
million. TT also has million shares outstanding and debt of $ million net of cash You believe that Oklahoma Logistics and Transport OLT is comparable to TT in terms of its underlying business, but OLT has no debt. OLT has a PE of and an enterprise value to EBITDA multiple of Based upon the enterprise value to EBITDA ratio, what is the value of a share of Texas Trucking?
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