Suppose you are using the justified pe approach to value a


Suppose you are using the Justified P/E approach to value a company. The current P/E ratio is $7. If the expected retention ratio for this company is 55%, the growth rate is 5% and the required return is 15%, what is the justified forward and justified trailing P/E? How the market is valuing this company now?

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Financial Management: Suppose you are using the justified pe approach to value a
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