How can i calculate the firm value using multiple approach?

To calculate firm value using the multiples approach, you can compare the company to similar firms by using valuation multiples such as Price-to-Earnings (P/E), Enterprise Value-to-EBITDA (EV/EBITDA), or Price-to-Sales (P/S). First, determine the appropriate multiple for the peer group and apply it to the corresponding financial metric of the target firm. For instance, if the average P/E ratio of comparable companies is 15 and your firm's earnings per share (EPS) is $2, you would multiply 15 by $2 to estimate a firm value of $30 per share. Finally, always adjust for company-specific factors that may influence the valuation.