Medical Properties Trust Inc (MPT)

Market price: $2.72

3 valuation methods

• EV / EBITDA: $0.00 to $6.16 (midpoint $1.86)
• Price / FFO: $1.86 to $3.59 (midpoint $2.55)
• P / B: $6.09 to $12.94 (midpoint $8.40)

Debt is most of what funds this company — its shares are about 15% of its total enterprise value. The enterprise-value bar here (1) value the whole business and then subtract the debt, so a small difference in the business's value becomes a large one per share. That is arithmetic, not a fault in the estimate, but it is why those ranges are wide.