Valuation Using Price-to-NOPAT Multiple The following table provides summary data for Applied Materials Inc. and its competitors, KLA Tencor Corporation and Lam Research Corporation. (in millions) Applied Materials KLA Tencor Lam Research $9,679 Company assumed value $11,418 Equity assumed value $8,876 $13,133 NOPAT $1,444 $440 $674 Net income $366 $656 $1,377 Net nonoperating obligations (assets) $(1,369) $803 $(1,715) Common shares outstanding 157.9 158.5 1,160.0 a. Compute the price to NOPAT ratio for both KLA Tencor Corporation and Lam Research Corporation. Round answers to two decimal places, when applicable. Price to NOPAT ratio KLA Tencor 0 Lam Research 0 b. Use KLA Tencor Corporation and Lam Research Corporation as comparables, along with the price to NOPAT ratios from part a, and then estimate for Applied Materials its company intrinsic value, its equity intrinsic value, and its equity intrinsic value per share. Round company and equity intrinsic values to the nearest million Round equity intrinsic value per share to two decimal places. KLA Tencor Corporation Company intrinsic value million Equity intrinsic value million Equity intrinsic value per share $ 0 Valuation Using Price-to-NOPAT Multiple The following table provides summary data for Applied Materials Inc. and its competitors, KLA Tencor Corporation and Lam Research Corporation. (in millions) Applied Materials KLA Tencor Lam Research $9,679 Company assumed value $11,418 Equity assumed value $8,876 $13,133 NOPAT $1,444 $440 $674 Net income $366 $656 $1,377 Net nonoperating obligations (assets) $(1,369) $803 $(1,715) Common shares outstanding 157.9 158.5 1,160.0 a. Compute the price to NOPAT ratio for both KLA Tencor Corporation and Lam Research Corporation. Round answers to two decimal places, when applicable. Price to NOPAT ratio KLA Tencor 0 Lam Research 0 b. Use KLA Tencor Corporation and Lam Research Corporation as comparables, along with the price to NOPAT ratios from part a, and then estimate for Applied Materials its company intrinsic value, its equity intrinsic value, and its equity intrinsic value per share. Round company and equity intrinsic values to the nearest million Round equity intrinsic value per share to two decimal places. KLA Tencor Corporation Company intrinsic value million Equity intrinsic value million Equity intrinsic value per share $ 0