Appraiser Newsroom

JUNE 4, 2024

Kevin holds an MBA in finance from Georgia State University and a Bachelors in Chemical Engineering from the Georgia Institute of Technology. Finance Professor | Pepperdine Graziadio Business School Craig R. Everett is a finance professor at the Pepperdine Graziadio Business School. a Software as a Service company.

Business Valuation 59

Business Valuation Intangible Assets Appraisal Finance 59

Valutico

AUGUST 10, 2023

Financial Literacy: Understanding SME valuation can empower entrepreneurs, investors, and anyone interested in finance, making the complex task of valuation more approachable. It needs to incorporate both the project risk and the opportunity cost, typically done using the CAPM method. What is the basic idea behind valuation?

Discounted Cash Flow 52

Discounted Cash Flow Asset-based Approach Intangible Assets Business Valuation 52

Valutico

SEPTEMBER 13, 2023

Recognized as firms with under 250 employees, their accurate valuation is highly important for many finance professionals. It needs to incorporate both the project risk and the opportunity cost, typically done using the CAPM method. How do I value an SME?

Discounted Cash Flow 52

Discounted Cash Flow Comparable Company Analysis Asset-based Approach Intangible Assets 52

Musings on Markets

JANUARY 6, 2023

Check rules of thumb : Investing and corporate finance are full of rules of thumb, many of long standing. When valuing or analyzing a company, I find myself looking for and using macro data (risk premiums, default spreads, tax rates) and industry-level data on profitability, risk and leverage. Cost of Equity 1.

Risk Premium 52

Risk Premium Dividends Start-ups EBITDA 52

Musings on Markets

JANUARY 31, 2024

In my last three posts, I looked at the macro (equity risk premiums, default spreads, risk free rates) and micro (company risk measures) that feed into the expected returns we demand on investments, and argued that these expected returns become hurdle rates for businesses, in the form of costs of equity and capital.

Equity 80

Equity Book Value Start-ups Corporate Finance 80

Musings on Markets

FEBRUARY 27, 2023

The second is that borrowing money will increase perceived default risk, and if the company is rated, lower ratings, and that too is true, but borrowing money at a BBB rating, with the tax benefit incorporated, might still yield a lower cost of funding that staying at a AA rating, with no debt in use. Do companies optimize financing mix?

Equity 52

Equity EBITDA Start-ups Net Debt 52

Musings on Markets

JANUARY 28, 2024

In this post, I look at risk, a central theme in finance and investing, but one that is surprisingly misunderstood and misconstrued. That said, and notwithstanding decades of research and debate on the topic, there are still wide differences in how risk is defined and measured. What is risk?

Risk Premium 117

Risk Premium Beta Start-ups Equity 117

Musings on Markets

JANUARY 5, 2024

I have also developed a practice in the last decade of spending much of January exploring what the data tells us, and does not tell us, about the investing, financing and dividend choices that companies made during the most recent year. Beta & Risk 1. Equity Risk Premiums 2. Financing Flows 5.

Dividends 105

Dividends Risk Premium Equity Book Value 105

Musings on Markets

JANUARY 10, 2025

In corporate finance and investing, which are areas that I work in, I find myself doing double takes as I listen to politicians, market experts and economists making statements about company and market behavior that are fairy tales, and data is often my weapon for discerning the truth. Beta & Risk 1. Equity Risk Premiums 2.

Risk Premium 115

Risk Premium Dividends Start-ups Corporate Finance 115

Musings on Markets

FEBRUARY 8, 2025

In the first five posts, I have looked at the macro numbers that drive global markets, from interest rates to risk premiums, but it is not my preferred habitat. A few years ago, I wrote a paper for practitioners on the cost of capital , where I described the cost of capital as the Swiss Army knife of finance, because of its many uses.

Risk Premium 72

Risk Premium Beta Start-ups Equity 72