How was this prediction made? More precisely, which ratio was used? What multiple was used? How does this multiple compare to that of 2001? What does it imply for the assumptions made by the authors regarding the future growth of the company?
This case study is based on a report written by two sell-side equity research analysts working for Credit Suisse First Boston Corporation. Such reports are typically used by investors to determine which stocks to invest in, and usually include a short overview of the industry, key financial estimates computed from the company’s financial statements, and […]