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Q1 Equity Valuations using Multiples and Transactions EPS BV Sales EBITDA Premium Synergy Historical Multiples: - Average 16.2 3.3 2.2 11.0 44.0% 35.0% Shares outstanding (M) 88.00 EPS Last 4Q Est....

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Q1
    Equity Valuations using Multiples and Transactions
        EPS    BV    Sales    EBITDA    Premium    Synergy
    Historical Multiples:
     - Average    16.2    3.3    2.2    11.0    44.0%    35.0%        Shares outstanding (M)
                                    88.00
    EPS    Last 4Q    Est. 2021    Est. 2022
    JTM EPS    4.00    4.15    4.33
    Average
    Book Value
    JTM Book Value        22.50
    Average
    Sales
    JTM Sales (Last 4Q)            3,722
    Average Sales Multiple
    Firm Value
    Debt Value            1,800
    Equity Value
    Average
    EBITDA
    JTM EBITDA (Last 4Q)                744
    Average EBITDA Multiple
    Firm Value
    Debt Value                1,800
    Equity Value
    Average
    Premium
    Pre-Announcement Stock Price                    45.00
    Average
    Synergy
    Pre-Announcement Stock Price                        45.00
    Average
Q2
    2020 Dividends
        Dividends    Growth/yr.
    Northern    2.00    3.0%
    Eastern    2.15    3.3%
    Central    2.65    3.1%
    Dividend Stream
        2021    2022    TV
    Northern
    Eastern
    Central
    DDM Value of each Firm
        $/share
    Northern
    Eastern
    Central
    WACC    5.8%
v. MAR 22
    No content - Intentionally left blank
Answered Same Day Apr 30, 2022

Solution

Prince answered on May 01 2022
115 Votes
Q1
    Equity Valuations using Multiples and Transactions
        EPS    BV    Sales    EBITDA    Premium    Synergy
    Historical Multiples:
     - Average    16.2    3.3    2.2    11.0    44.0%    35.0%        Shares outstanding (M)
                                    88.00
    EPS    Last 4Q    Est. 2021    Est. 2022
    JTM EPS    4.00    4.15    4.33
    Average    64.80    67.23    70.15
    Book Value
    JTM Book...
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