Photon Inc. is considering acquiring one of its competitors. Photon's management wants to buy a firm it believes is most undervalued.

Photon Inc. is considering acquiring one of its competitors.   Photon’s management wants to buy a firm it believes is most undervalued. The firm’s three major competitors, Ajax, Babo, and Comet, have current market values of $600 million, $830 million, and $750 million, respectively. The market value to equity cash flow (FCFE) and growth ratios (MV/FCFE/G)