Musings on Markets

JANUARY 5, 2024

The numbers that I computed opened my eyes to how much perspective on the high, low, and typical values, i.e., the distribution of margins, helped in valuing the company, and how little information there was available, at least at that time, on this dimension. Standard Deviation in Equity/Firm Value 2.

Dividends 105

Dividends Risk Premium Equity Book Value 105

Valutico

SEPTEMBER 22, 2023

This is accomplished through methods like Comparable Company Analysis, Precedent Transaction Analysis, and Market Capitalization, which collectively offer insights into the company’s value within the context of the broader market landscape. CCA provides insights to make informed investment decisions.

Discounted Cash Flow 52

Discounted Cash Flow Intangible Assets Book Value Asset-based Approach 52

Andrew Stolz

JANUARY 12, 2022

If it can maintain a 6-7% EBIT margin it changes the market’s assessment of the company. Book value is the value attributable to shareholders in case the company sells all its assets and repays its liabilities (also called liquidation value). DISCLAIMER: This content is for information purposes only.

EBIT 52

EBIT Price to Book Book Value Liquidation Value 52

Valutico

DECEMBER 15, 2022

The ratio is either related to the Equity Value or ratios related to the Enterprise Value. . An example of an enterprise multiple: EV/Sales, EV/EBITDA, EV/EBIT and practically all non-financial multiples (e.g. This is because Enterprise Value consists of Debt + Equity but Equity Value only consists of Equity.

Precedent Transaction Analysis 52

Precedent Transaction Analysis EBITDA Comparable Company Analysis Enterprise Value 52

Valutico

DECEMBER 15, 2022

The ratio is either related to the Equity Value or ratios related to the Enterprise Value. . An example of an enterprise multiple: EV/Sales, EV/EBITDA, EV/EBIT and practically all non-financial multiples (e.g. This is because Enterprise Value consists of Debt + Equity but Equity Value only consists of Equity.

Precedent Transaction Analysis 52

Precedent Transaction Analysis EBITDA Comparable Company Analysis Enterprise Value 52

IBG Business

NOVEMBER 30, 2022

In theory, if perfectly applied, all the various approaches and methods – such as multiples of net profit, cash flow, revenues, EBITDA, seller’s discretionary earnings, net book value and scores of others – might be expected to reach same value conclusions for the same business. Normally, they are not even close.

EBITDA 52

EBITDA EBIT Book Value Marketability 52

Equilest

NOVEMBER 25, 2023

Its calculation involves the subtraction of capital expenditures, changes in working capital, and taxes from the company's Earnings Before Interest and Taxes (EBIT). The resulting value represents the cash available to all contributors of capital—both debt and equity. One key emphasis is on the Price to Book Value multiple.

Discounted Cash Flow 52

Discounted Cash Flow Dividends Enterprise Value Terminal Value 52