NRBG Inc. generated EBITDA of $181,818,182 million this year and that is expected to grow by 10% over the coming year. NRBG has 40 million shares outstanding; similar companies trade around 9 times cash flow. What are NRBG's expected cash flow and price per share?

Question

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NRBG's expected cash flow next year is $181,818,182 million * 1.10 = $200,000,000 million. Dividing by 40 million shares gives $5.00 per share. With a multiple of 9 times cash flow, the price per share is $5.00 * 9 = $45.00.

NRBG Inc Generated EBITDA of $181,818,182 Million This Year and That