Relative Valuation (Comparable Companies Approach) Problem Using following comps data (EV/EBITDA and EV/Sales) to determine the implied
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Question:
Relative Valuation (Comparable Companies Approach) Problem
Using following comps data (EV/EBITDA and EV/Sales) to determine the implied
Enterprise Value and Equity Value per share ranges for Cargo King?
Assume benchmarked comps and run true averages.
Data for Cargo King:
Sales (LTM) $ 4,075
EBITDA (LTM) $ 650
Debt (Interest bearing) $ 100
Preferred Equity $ 2 0
Cash & Marketable Securities $ 5 0
Number of shares outstanding 781 m
Comparable Companies:SharesStock Price Outstanding CashTotal Debt
Market Data
Island Exports $ 30.0 402.0 200.0 2,209.0
Islander Group $ 24.0 349.0 450.0 1,023.0
WEBCO HI $ 18.0 567.0 890.01,000.0
Sales EBITDA
Latest 12 months data
Island Exports 8,901 1,335
Islander Group 11,234 1,685
WEBCO HI 10,934 1,610
Posted Date: