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What is the estimated intrinsic value for this stock

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Reference no: EM133057760

Question - You are a value investor and are interested in applying the historical average graham number to calculate the intrinsic value of a stock. This company has earnings per share (EPS) of $4.84 and book value per share (BVPS) of $22.29. You have observed that the current P/E ratio of the company is 20.2, but its 5-year historical average is 16.7. You have observed that the current P/B ratio of the company is 2.72, but its 5-year historical average is 3.4. What is the estimated intrinsic value for this stock?

Reference no: EM133057760

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