Estimate Greenland’s value per-share as of January 1, 2019 based on DCF analysis with a forecast period of 2019-23: a. use a terminal value estimate based on a 2.5% perpetual growth rate and run a sensitivity analysis
The below are the case questions for Value Creation (Finance Model):
1) Estimate Greenland’s value per-share as of January 1, 2019 based on DCF analysis with a forecast period of 2019-23:
a. use a terminal value estimate based on a 2.5% perpetual growth rate and run a sensitivity analysis.
b. use a terminal value estimate based on an EV/EBITDA multiple of 8.1x and run a sensitivity analysis.
2) Estimate Greenland’s value per-share as of January 1, 2019 based on trading multiples:
a. trailing (i.e., 2018), 1-year 5 (i.e., 2019) and 2-year forward (i.e., 2020) P/E ratios;
b. trailing, 1-year and 2-year forward EV/EBITDA ratios.
3) Estimate Greenland’s value per-share as of January 1, 2019 based on comparable transaction multiples.
4) Estimate Greenland’s value per-share as of January 1, 2019 based on public takeover premia relative to the undisturbed stock price as of
a. one day before the offer;
b. one week before the offer;
c. four weeks before the offer.
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