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Author Question: Which of the following statements regarding market multiple analysis is correct? (Read 94 times)

Scollins7

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Which of the following statements regarding market multiple analysis is correct?

The assumption of market multiple analysis is that the relative value of certain financial ratios cannot be used to rank or value a company within a similar group.


The EBITDA multiple is the total value of a company (the market value of equity plus debt) multiplied by EBITDA.


To estimate the company’s stock value using the market P/E multiple approach, simply multiply its EPS by the market multiple to obtain the estimated stock price per share.


To estimate the company’s stock value using the market P/E multiple approach, simply divide its market multiple by EPS to obtain the estimated stock price per share.



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Marked as best answer by Scollins7 on Aug 7, 2023

Talvinder.Singh

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Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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Scollins7

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Reply 2 on: Aug 7, 2023
YES! Correct, THANKS for helping me on my review


pratush dev

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Reply 3 on: Yesterday
Great answer, keep it coming :)

 

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