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Re: vpagano post# 10

Sunday, 06/09/2013 10:00:06 AM

Sunday, June 09, 2013 10:00:06 AM

Post# of 33
COV's valuation has been very stable over the past five years.

COV is currently trading at 16.82 (TTM). The PE (5YA) is 16.05. The industry average is 26.73 and 32.14, respectively.

On a Price/Sales basis, the values are 2.45 (recent quarter) and 2.52 (TTM). Comparable industry values are 4.63 and 7.36.

COV will be revalued once MNK is spun off.

The valuation of MNK would need to be compared to Pharmaceuticals, where the PE (TTM) is 22.33 and the PE (5YA) is 25.43. Pharma has been trading at a 6.99 PSR (TTM).

All of the information listed above should be deemed a starting point in the valuation process.

"Someone said it takes 30 years to be an instant success" - Gabriel Barbier-Mueller, CEO of Harwood International