LEADER 04157nam 22006373u 450 001 9910816797103321 005 20240404150042.0 010 $a1-118-90388-9 010 $a1-118-90389-7 035 $a(CKB)2550000001280589 035 $a(EBL)1680600 035 $a(SSID)ssj0001217715 035 $a(PQKBManifestationID)11783556 035 $a(PQKBTitleCode)TC0001217715 035 $a(PQKBWorkID)11208461 035 $a(PQKB)10511626 035 $a(MiAaPQ)EBC1680600 035 $a(EXLCZ)992550000001280589 100 $a20140505d2014|||| u|| | 101 0 $aeng 135 $aurcnu|||||||| 181 $ctxt 182 $cc 183 $acr 200 10$aValuation $eThe Market Approach 205 $a1st ed. 210 1$aHoboken :$cWiley,$d2014. 215 $a1 online resource (216 p.) 225 1 $aThe Wiley Finance Series 225 1 $aTHEi Wiley ebooks 300 $aDescription based upon print version of record. 311 $a1-118-90392-7 311 $a1-306-70622-X 327 $aCover; Title Page; Copyright Page; Contents; Acknowledgments; Introduction; 1 Corporate Valuation; 1.1 The discounted cash flow approach; 1.2 The market approach; 1.3 The net asset approach; 2 What Value?; 2.1 Standard of values; 2.2 Marketability and control; 2.2.1 Marketability (liquidity); 2.2.2 Control; 2.2.3 Adjusting for marketability and control; 3 Exchange-traded Shares vs. Transactions; 3.1 Exchange-traded shares; 3.2 Transactions; 4 How to Put the Peer Group Together; 4.1 The selection process; 4.1.1 Geography; 4.1.2 Business model; 4.2 How many comparables? 327 $a4.3 Analyzing the history 5 Market Value of Equity vs. Market Value of Operating/Invested Capital; 5.1 Market value of equity; 5.2 Market value of operating/invested capital; 6 The Value Multiples; 6.1 EV Multiples; 6.2 P Multiples; 6.3 Other details to consider; 7 The Value Drivers; 7.1 Primary value drivers of the EV multiples; 7.2 Primary value drivers of the P multiples; 7.3 Assumptions regarding value drivers; 8 Applying the Market Approach in Practice; 8.1 The case study; 8.1.1 EV/Sales; 8.1.2 EV/EBIT; 8.1.3 EV/BEV; 8.1.4 Some closing remarks; 8.2 Risk 327 $a8.2.1 The discounted cash flow approach (DCF)8.2.2 Forecasted cash flows; 8.2.3 Cost of capital (discount rate); 8.2.4 Cost of equity (Ke); 8.2.5 The capital asset pricing model (CAPM); 8.2.6 Adjusted CAPM; 8.2.7 Cost of debt (Kd); 8.2.8 Capital structure; 8.2.9 Weighted average cost of capital (WACC); 8.3 Summary of calculated values; 8.3.1 EV Multiples; 8.3.2 Price multiples - short tuning; 8.3.3 Concluding remarks; 9 Using the Market Approach for Reconciliation; 9.1 The discounted cash flow value of Engineering Corp; 9.1.1 EV/Sales; 9.1.2 EV/EBIT; 9.1.3 EV/BEV; 9.1.4 Some closing remarks 327 $a10 Forward-looking Value Multiples11 Summary and Concluding Remarks; 12 Epilog; Appendix: Brief Derivation of the Respective Value Multiple's Individual Value Drivers; Index 330 $aThe market approach aims to establish the value of a company based on how similar firms are priced on the stock exchange or through company transactions. Using the market approach, price-related indicators such as price to earnings, sales and book values are utilised. An ever-present problem however, is that different valuation multiples and valuation methodologies tend to provide the analyst with contradictory outputs. The solution to this problem so far has been to claim that the market approach is more art than science, thus providing the analyst with the freedom to alter the multiples a 410 0$aWiley finance series. 410 0$aTHEi Wiley ebooks. 606 $aCorporations -- Valuation 606 $aInvestment analysis 606 $aStocks -- Prices 615 4$aCorporations -- Valuation. 615 4$aInvestment analysis. 615 4$aStocks -- Prices. 676 $a332.63 676 $a332.63221 700 $aBernstrom$b Seth$01710053 801 0$bAU-PeEL 801 1$bAU-PeEL 801 2$bAU-PeEL 906 $aBOOK 912 $a9910816797103321 996 $aValuation$94100325 997 $aUNINA