From the course: Comparable Valuation Analysis

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Tesco multiples

Tesco multiples

From the course: Comparable Valuation Analysis

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Tesco multiples

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Now, we can go ahead and calculate our multiple. Again, we want numerator, denominator consistency. If we have enterprise value in the numerator, this needs to be a pre-interest metric. Of course, revenue is pre-interest, it's really pre-everything. Let's calculate that multiple, take our enterprise value, very top, cell D26, we'll anchor that. Then if we want to jump back to the cell that we were just in, you can do control backspace, very useful formula. So enterprise value divided by last 12-month revenue of 61 million, billion actually, then we'll go ahead and copy those to the right. We'll do the same thing with enterprise value to EBITDA again, we'll jump up to cell D26, to make sure you anchor it. And then you can do control backspace to go back to where you were. And in this case, we want to divide by EBITDA. Copy to the right. And last, but certainly not least, we want the price per share divided by the diluted earnings per share. So our price per share at the very top…

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