Consider a company which had revenues of $49 million over the last twelve months. (a) Depreciation and
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Consider a company which had revenues of $49 million over the last twelve months.
(a) Depreciation and amortization expenses were $7 million.
(b) Operating margin was 37.2%. It has $29 million of debt, $8 million in cash, and 7 million shares outstanding.
(c) Comparable companies are trading at an average trailing EV/EBITDA multiple of 11.
(d) How much is each share worth using relative valuation? Round to one decimal place.
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
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