Question: Stock valuation using the multiple (comps) method: Below, P/E ratio for The Procter & Gamble Company and four similar firms (comps) are provided. The annual
Stock valuation using the multiple (comps) method: Below, P/E ratio for The Procter & Gamble Company and four similar firms (comps) are provided. The annual earnings per share (EPS) of The Procter & Gamble Company is $7.53. Currently, the stock of The Procter & Gamble Company is trading in the market at $140.82.
| Stock Value: Four Comps Method | |
| 25.77 | <-- P/E of The Procter & Gamble Company |
| 19.96 | <-- 1) P/E of Target Corporation |
| 46.08 | <-- 2) P/E of Amazon.com, Inc. |
| 9.35 | <-- 3) P/E of Macy's, Inc. |
| 39.84 | <-- 4) P/E of Costco Wholesale Corporation |
| $ 7.53 | <-- EPS of The Procter & Gamble Company |
How much is the stock value of this company using the "Comps" method?
Enter your answer in the following format: 12.34 Hint: Answer is between 197.4 and 242.95
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