Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Target Enterprises has EBITDA of $15 million, Cash of $20 million, and Debt of $50 million along with 6.8 million shares outstanding. You collect the

image text in transcribed

Target Enterprises has EBITDA of $15 million, Cash of $20 million, and Debt of $50 million along with 6.8 million shares outstanding. You collect the below data on three comparable companies. Use this data to estimate the share price of Target Enterprises. Comp 1 $1,250 Comp 2 Comp 3 $5,520 $3,975 EV EBITDA -$85 $415 $328 Please enter your answer to two decimal places with no signs or commas, e.g. enter $12.34 as 12.34

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

Finance A Quantitative Introduction Volume 2

Authors: Piotr Staszkiewicz, Lucia Staszkiewicz

1st Edition

0128027975, 978-0128027974

More Books

Students also viewed these Finance questions

Question

Describe the main components of emotion.

Answered: 1 week ago

Question

Derive expressions for the rates of forward and reverse reactions?

Answered: 1 week ago

Question

Write an expression for half-life and explain it with a diagram.

Answered: 1 week ago

Question

What do you mean by underwriting of shares ?

Answered: 1 week ago

Question

Define "Rights Issue".

Answered: 1 week ago