Question: Stock valuation using the multiple (comps) method: Below, P/E ratio for Walmart Inc. and four similar firms (comps) are provided. MODULE 9 The annual earnings

Stock valuation using the multiple (comps) method: Below, P/E ratio for Walmart Inc. and four similar firms (comps) are provided. MODULE 9

The annual earnings per share (EPS) of Walmart Inc. is $4.94.

Currently, the stock of Walmart Inc. is trading in the market at $144.50.

Stock Value: Four Comps Method for Walmart Inc.

21.93

<-- P/E of Walmart Inc.

18.76

<-- 1) P/E of Target Corporation

54.64

<-- 2) P/E of Amazon.com, Inc.

11.86

<-- 3) P/E of Macy's, Inc.

45.05

<-- 4) P/E of Costco Wholesale Corporation

$4.94

<-- EPS of Walmart Inc.

How much is the stock value of this company using the "Comps" method?

Enter your answer in the following format: 123.45

Hint: Answer is between 143.23 and 173.81

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!