After researching the competitors of EJH Enterprises, you determine that most comparable firms have the following valuation ratios:. EJH Enterprises has EPS of $1.90, EBITDA of $290 million, $25 million in cash, $42 million in debt, and 101 million shares outstanding. What range of prices is consistent with both sets of multiples? The range of prices will be: Lowest price within both ranges, the P/E and EV/EBITDA ranges, is $ decimal places.) Highest price within both ranges, the P/E and the EV/EBITDA ranges, is $ decimal places.) (Round to two (Round to two

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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60.

Finance 

After researching the competitors of EJH Enterprises, you determine that most comparable firms have
the following valuation ratios:. EJH Enterprises has EPS of $1.90, EBITDA of $290 million, $25
million in cash, $42 million in debt, and 101 million shares outstanding. What range of prices is
consistent with both sets of multiples?
The range of prices will be:
Lowest price within both ranges, the P/E and EV/EBITDA ranges, is $
decimal places.)
Highest price within both ranges, the P/E and the EV/EBITDA ranges, is $
decimal places.)
(Round to two
(Round to two
Transcribed Image Text:After researching the competitors of EJH Enterprises, you determine that most comparable firms have the following valuation ratios:. EJH Enterprises has EPS of $1.90, EBITDA of $290 million, $25 million in cash, $42 million in debt, and 101 million shares outstanding. What range of prices is consistent with both sets of multiples? The range of prices will be: Lowest price within both ranges, the P/E and EV/EBITDA ranges, is $ decimal places.) Highest price within both ranges, the P/E and the EV/EBITDA ranges, is $ decimal places.) (Round to two (Round to two
(Click on the following icon in order to copy its contents into a spreadsheet.)
Comp 2
Comp 3
Comp 1
12
11
12.5
19
18
20
EV/EBITDA
P/E
Comp 4
10
17
Transcribed Image Text:(Click on the following icon in order to copy its contents into a spreadsheet.) Comp 2 Comp 3 Comp 1 12 11 12.5 19 18 20 EV/EBITDA P/E Comp 4 10 17
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