Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

You are trying to value a company which had revenues of $21 million over the last twelve months. Depreciation and amortization expenses were $9 million.

You are trying to value a company which had revenues of $21 million over the last twelve months. Depreciation and amortization expenses were $9 million. operating margin is 34.3%. it has $21 million of debt, $3 million in cash, and 11 million shares outstanding. Comparable companies are trading at an average trailing EV/EBITDA multiple of 19. how much is each share worth using the relative valuation method.

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

Economics And Personal Finance

Authors: Irvin Tucker, Joan Ryan

1st Edition

1133562108, 978-1133562108

More Books

Students also viewed these Finance questions