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You are advising HealthRx on a potential sale of its business (a sell side). You have been assigned the task of performing a comparable company

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You are advising HealthRx on a potential sale of its business (a sell side). You have been assigned the task of performing a comparable company analysis for HealthRx in order to present a reasonable valuation range for HealthRx. You have compiled all the relevant data in the file we've given you above.

  1. Excluding HealthRx from the peer group, what is the per share equity value of HealthRx based on the average peer group LTM P/E ratio?
  2. Including HealthRx in the peer group, what is the range of per-share equity value for HealthRx based on the median peer group Year 1 EV/EBITDA and Year 1 EV/Revenue multiples?
  3. If you were solely interested in showing the highest valuation for HealthRx, which average LTM multiple would you least likely to present?
Last Twelve Months (LTM) - Operating results Year 1 Forecast - Calendar Year Net debt Revenues EBITDA Non-GAAP EBIT GAAP EPS Revenues EBITDA Non-GAAP EBIT GAAP EPS 1201.3 1.87 1.94 Health Rx Peer 1 Diluted shares Share price 3,934.1 120.5 6,884.0 113.0 7,743.0 101.0 16,960.0 29.0 620.5 57.0 6.53 Peer 2 111,223.3 116,525.0 103,264.0 88,840.0 15,140.0 25,343.1 33,792.3 33,044.5 31,094.0 6,813.0 (763.0) 65.0 (550.0) 155.0 13,013.4 28,385.5 29,079.1 23,009.6 4,701.0 7.43 115,672.2 125,847.0 116,688.3 95,058.8 17,259.6 7.18 7.80 26,356.8 38,861.1 47,253.6 41,044.1 9,810.7 13,533.9 33,031.9 38,748.0 28,730.9 6,867.5 Peer 3 1.18 1.22 Peer 4 2.06 2.26 Last Twelve Months (LTM) - Operating results Year 1 Forecast - Calendar Year Net debt Revenues EBITDA Non-GAAP EBIT GAAP EPS Revenues EBITDA Non-GAAP EBIT GAAP EPS 1201.3 1.87 1.94 Health Rx Peer 1 Diluted shares Share price 3,934.1 120.5 6,884.0 113.0 7,743.0 101.0 16,960.0 29.0 620.5 57.0 6.53 Peer 2 111,223.3 116,525.0 103,264.0 88,840.0 15,140.0 25,343.1 33,792.3 33,044.5 31,094.0 6,813.0 (763.0) 65.0 (550.0) 155.0 13,013.4 28,385.5 29,079.1 23,009.6 4,701.0 7.43 115,672.2 125,847.0 116,688.3 95,058.8 17,259.6 7.18 7.80 26,356.8 38,861.1 47,253.6 41,044.1 9,810.7 13,533.9 33,031.9 38,748.0 28,730.9 6,867.5 Peer 3 1.18 1.22 Peer 4 2.06 2.26

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