Valuation Based on Assets
Buying a house is not the same as buying a house on fire.
—James Dimon, chief executive officer, JPMorgan Chase, testifying before the Senate Banking Committee April 3, 2008, about Morgan’s purchase of Bear Stearns with support from the federal government
CORPORATE VALUATION BEGINS with an understanding of assets held by the corporation being valued. This is the most straightforward way of valuing a corporation and in some regions, such as Asia, the most widely accepted way.1
To be sure, few investors or corporate leaders consider assets to be a primary indicator of corporate value. However, this does not diminish the importance of this corporate element. If accounting standards could recognize the full extent ...

Get Corporate Valuation for Portfolio Investment: Analyzing Assets, Earnings, Cash Flow, Stock Price, Governance, and Special Situations now with the O’Reilly learning platform.

O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.