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Do you think JJ-J is overvalued or undervalued

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Question - JJ&J a retail firm has a current stock price of R1.35 per share. The company has sales of R50million, net income of R4.5 million, and 60 million outstanding shares. You are trying to value the JJ&J's stock price. The average firm in the retail sector has a price-earnings ratio of 16, price to sales ratio of 0.9 and sales per share of R0.52. Do you think JJ&J is overvalued or undervalued?

Reference no: EM133140700

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