- 52 -
and amortization and EBITDA). In determining the respective
price-to-earnings ratios and price-to-cash flow ratios of Marrero
Land, Mr. Stryker gave the greatest weight to the respective
indicated values based on its latest year earnings and cash flow
(determined both as net income plus depreciation and amortization
and EBITDA). With respect to the price-to-tangible book value
ratios, Mr. Stryker concluded that the comparable public compa-
nies that he selected sold at between 74.2 percent and 666.3
percent of tangible book value. According to Mr. Stryker,
Marrero Land's rates of returns on equity of 8.7 percent for the
latest year and median of 12.8 percent for the latest five years
did not compare favorably with the rates of those public compa-
nies. As a result, Mr. Stryker determined that a ratio of price-
to-tangible book value of 100 percent was applicable to Marrero
Land's common stock as of the valuation date.
The indicated values that Mr. Stryker determined on the
basis of an examination of price-to-earning ratios, price-to-cash
flow ratios, and price-to-tangible book value ratios resulted in
the following indicated values per share of stock of Marrero Land
as of the valuation date:
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