Question: You are trying to find an implied value for Target Corporation using financial information from Walmart. You have collected the following: Walmart Statistics: Value: Market

You are trying to find an implied value for Target Corporation using financial information from Walmart. You have collected the following:

Walmart Statistics: Value:
Market capitalization of common stock $255.70 billion
Market value of debt $59.17 billion
Cash $9.72 billion
EBITDA $38.66 billion
Target Statistics: Value:
Market value of debt $14.61 billion
Cash $1.85 billion
EBITDA $7.95 billion
Shares Outstanding 0.68 billion

Based on the EBITDA reported for Target, what is an estimate for Targets enterprise value using Walmarts enterprise value/EBITDA multiple?

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