Our Space is a social media site that is growing in popularity. The firm has been around for a few years and has created a nice market niche for itself in fact, it actually sumed a profit last year, abe a fairly small one Aher doing some basic research on the company, you've decided to take a closer look. You plan to use the price-to-sales ratio to value the stock and you have colected PS muples on the following social media companies Find the average PS ratio for these three firms. Given that Our Space is expected to generate $32 million in sales next year and will have 15 million shares of stock outstanding, use the average P/B ratio you computed above to put a value on Our Space's stock The average PS ratio for the 3 firms is (Round to two decimal places) ATD

Our Space is a social media site that is growing in popularity. The firm has been around for a few years and has created a nice market niche for itself in fact, it actually sumed a profit last year, abe a fairly small one Aher doing some basic research on the company, you've decided to take a closer look. You plan to use the price-to-sales ratio to value the stock and you have colected PS muples on the following social media companies Find the average PS ratio for these three firms. Given that Our Space is expected to generate $32 million in sales next year and will have 15 million shares of stock outstanding, use the average P/B ratio you computed above to put a value on Our Space's stock The average PS ratio for the 3 firms is (Round to two decimal places) ATD

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

Problem 1PS

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