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Please use data provided to estimate the value of Firm ABC based on relative P/E ratio
S&P500 PE Multiples Valuation Estimate PE-annual PE-annual S&P500 Firm 'ABC' 2020 19.1 16.3 2019 24.5 17.9 2018 19.4 14.8 2017 17.9 13.5 AVG ABC PE TO S&P500 AVG PE STD DEV S&P500 20.23 2.92 FORECAST 2021 Baseline S&P500 PE Firm 'ABC' Est'd PE 26.60 29.5 OPTIM (+ 1 Std Dev) PESSIM (-1 Std Dev) 23.7 Firm 'ABC' 2021 Baseline | $ EPS Forecast 3.85 Firm 'ABC' Est'd Stock Value $ 69,400 $ 7,350 $ 51,000 1,100 Firm X Est'd value --> COMM SHARES > $ 69,400 $ 7,350 $ 51,000 1,100 Firm X Est'd value --> COMM SHARES >
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