Financial analysts estimate of wccs stock price

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Reference no: EM131088064

WCC has EBITDA of $4.2 million. A financial analyst feels that an appropriate EV/EBITDA ratio for WCC is 8.4. WCC has $4.5 million in debt, $1.2 million in cash and 640,000 shares outstanding. What is the financial analyst’s estimate of WCC’s stock price? (Hint: Calculate EV and MV equity to get stock price).

Please show work as to how you got your answer.

Reference no: EM131088064

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