Valuation Using Price-Earnings Multiples The Claremont Company is planning an initial public offering (PPO) and management wouid like to have an idea of an appropriate price to charge for a share of its stock. The company plans to issue 100,000 shares, The Claremont Company's most recent earnings per share \{EPS) are 51.65 ; however, the consensus forecast arnong analysts who follow the company is for EPS to be $1 BS, The EPS and share price of four comparable firms are shown below