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Financial Times Guide to Corporate Valuation, The, 2nd Edition
book

Financial Times Guide to Corporate Valuation, The, 2nd Edition

by David Frykman, Jakob Tolleryd
September 2012
Intermediate to advanced content levelIntermediate to advanced
216 pages
5h 59m
English
FT Publishing International
Content preview from Financial Times Guide to Corporate Valuation, The, 2nd Edition
5
Ratio-based valuation
What topics are covered in this chapter?
Classification of multiples
Finding your multiple
Different multiples
How to find input data for multiple valuations
Summary
Ratio-based valuations are frequently used by valuation experts, managers
and investors. In ratio-based valuation (also called multiple-based valuation),
the value of the company is expressed in relation to a specific variable such
as sales, EBIT (earnings before interest and tax), net earnings or book value.
A ratio and a multiple refer to the same number but the terms are usually
used in different contexts: ratio is the result of a
division, value/variable = ratio; multiple is a term
in a multiplication, variable × multiple = value.
Classification of ...
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Publisher Resources

ISBN: 9780273729112