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The DCF approach to valuation and the multiples method of valuation are common. Where does the APV method come in? What are the advantages of the adjusted present value (APV) method of valuation?
We address this question on this webpage. “Why would you consider the adjusted present value (APV) method of valuation?”
There are a large number of multiples you can choose from to do a multiples-based valuation. Examples include PE or Price Earning multiple, EV/Cash flow, EV/EBITDA, EV/EBIT, EV/Eyeballs, PEG, Value/Barrel, EV/Sales, EV/EBIT, EV/sales, etc. What factors help you decide on the multiples you pick? Which ones do you use? Which ones should you avoid? Are some multiples better than others?
We discussed elsewhere that multiples closer to cash flows should be preferred to other multiples because cash flows drive valuation. However, how do you select the numerator? Show you be considering enterprise values or equity of something else?
We address this question: Why are enterprise value multiples considered better than equity multiples?
There are a large number of multiples you can choose from to do a multiples-based valuation. Examples include EV/Cash flow, EV/EBITDA, EV/EBIT, EV/Eyeballs, Value/Barrel, EV/Sales, EV/EBIT, EV/sales, etc. What factors help you decide on the multiples you pick? Which ones do you use? Which ones should you avoid? Are some multiples better than others?
We address this question here: “What factors help you decide which multiple to use in multiples-based valuations?”
There must be a connection between dividend payment and the beta. Have you noticed if there is a connection between dividend payment and the beta? If yes, in what direction is the relationship? Very interesting question. Are you sure?
We address this question here today. “Does dividend payment impact the beta? If yes, how?”