Question: Using the following table, please answer the question below. Enterprise Current Value Stock Price (C$MM) Equity Value (C$MM) Enterprise Value/EBITDA Equity Value/Net Income LTM

Using the following table, please answer the question below. Enterprise Current Value

Using the following table, please answer the question below. Enterprise Current Value Stock Price (C$MM) Equity Value (C$MM) Enterprise Value/EBITDA Equity Value/Net Income LTM LFY+1 LTM LFY+1 Company Company A $11.45 $657 $542 12.3x 10.6x 18.7x 16.5x Company B $11.36 $632 $520 12.1x 10.5x 18.3x 16.1x Company C $10.32 $598 $534 11.6x 9.5x 17.9x 15.3x You have the following information about the company SudsandBuds which you are trying to value: (amounts in millions) LTM EBITDA $43 Net Income $25 LFY +1 $50 $30 In addition, you know that SudsandBuds has Net Debt of $80 million and 124 million shares outstanding. What is "SudsandBuds worth on a per share basis, given the publicly traded comparable company analysis shown above? Please show all your work and round to at least 2 decimal points.

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!

1)Suppose you buy a straddle, which means you purchase a put and a call with the same strike price. The put price is $1.80 and the call price is $2.20. Assume the strike price is $60. What are the...

The position of a particle is r(t) = (5.2t + 3.6 3.2tk) m. (Express your answers in vector form.) (a) Determine its velocity (in m/s) and acceleration (in m/s2) as functions of time. (Use the...

Consider the following information: Rate of Return if State Occurs State of Economy Boom :57 Bust of Economy .66 .34 Probability of State Stock A .09 .13 Stock B Stock C .03 .19 .24 -.04 a. What is...

Hi Ruchi, I need help with the attached assignment. It's due in about a week. Thanks 1) The paper should be written in APA style Research Paper format. This is the link that explains the research...

Answer the 11 questions for the attached valuation project.Provide high level analysis and support by excel calculations. Please suggest a reasonable price. Thank you Provide high level analysis and...

Hi Could you please answer the question in the attached file 'Ask' Hi Please answer the following questions: 1. Describe the role that the \"winner's curse\" may play in the underpricing of IPOs. 2....

Hello, Please see the attached pdf file for the questions, and use the excel to answer them.I only need some help with Q# 1 (the whole question). I have been trying to figure out what should the...

Executive Memorandum (EM) Guidelines Prepare an executive summary of the papers that is only one page long.The assignment should be typed in Word, font size 11 double spaced, with minimum margins of...

Hi Can you assist with the attached assignment? Thanks Bayerische Motoren Werke Aktiengesellschaft (DB:BMW) > Financials > Key Stats In Millions of the trading currency, except per share items....

Hi man! Just saw yo comment. I was counting on you, can you share with me what you found through Capital IQ. I am offering you the question again, since you already worked on it. just share with me...

A company that receives shipments of batteries tests a random sample of nine of them before agreeing to take a shipment. The company is concerned that the true mean lifetime for all batteries in the...

Paulie Gualtieri is a financial analyst in the industrial-trend research team in the research department of IFA. Gualtieri is assigned to examine the sensitivity of each industry's operational...

Two common reasons for _ _ _ _ _ _ _ _ _ are having too many visible resources and an absence of a major and visible crisis. Option A consensus Option B complacency Option C inertia Option D myopia...

A claw hammer is used to pull a nail out of a board (Fig. 11.38). The nail is at an angle of 60° to the board, and a force F, of magnitude 500 N applied to the nail is required to pull it from...

Calculating EAR Friendlys Quick Loans, Inc., offers you three for four or I knock on your door. This means you get $3 today and repay $4 when you get your paycheck in one week (or else). What the...

The cost of capital always depends on the risk of the project being evaluated. Therefore the company cost of capital is useless. Do you agree?

A perfectly stirred tank is used to heat a flowing liquid. The dynamics of the system have been determined to be approximately as shown in figure. Where: P is the power applied to the heater Q is the...

A heat transfer process has the following transfer function between a temperature T and an inlet flow rate q where the time constants have units of minutes: If the flow rate varies sinusoidally with...

Determine if the overhead allocated to the product relates to a single plantwide overhead rate method, multiple production department factory overhead rate method, or activity-based costing...

5. Following the guidelines in this chapter, write a central idea statement for a speech on the topic of buying car insurance.

6. Divide the central idea statement you wrote about buying car insurance into two or more main ideas, using the three questions recommended in this chapter.

Keep descriptions and explanations brief.