I know this is very short notice, but I am struggling on Business Valuations. I have done practice questions but I keep hitting a road blocks when I am required to do a PE valuation, but there isn’t a PE ratio given. I also struggle with FCFE, just doing the calculation for the free cash flow is a little hard. Also what should I do if there is no growth rate.
Share price/EPS should give you your PE ratio. Growth (g) rate can be calculated using retention rate (b) x rate of return to equity (r) or determined from extrapolation