In considering the valuation for the shares, the company needs to consider that it values the share prices not based on historical data alone, but on future market activities that may have an effect on the share prices. The valuation should be based on the Profits/Earnings ratio that would reveal the expected earnings from that particular share (Brigham & Ehrhardt 2008). A higher P/E ratio would be an indication of low returns on the share in the future. The growth expectations of the shares also influence their prices; hence, needs to be taken into consideration by the management of Air Europa since this would allow it to assess the economic factors in the respective market of operation that might affect the share prices of the stocks of Aer Lingus in the future. Finally, considering the daily operations of the share in the market, it would be possible for Air Europa to determine the share prices. This aspect would also enable it to determine the allocations it does to the portfolio of the stocks.