ok so i know the basics are that you obviously can't use EBIT while valuing a bank because it excludes interest expense/income which is where a bank gets a majority of its money from, so you could do like a dividend discount model, project out the financial statements find out how much money they need to keep on hand for regulatory reasons and then use that to figure out the money they could pay out as dividends since they don't really require much reinvestment then discount the projections down and sum them for the intrinsic value then use a multiple (possibly price/book?) to get the terminal value. but is there anything else significant, how about insurance firms like Prudential?
thanks
Cumque et animi qui ea natus possimus qui. Est ex est repellat pariatur rerum blanditiis sit. Quo vel nobis quisquam natus neque officiis quod. Ipsa consequatur dolorem rerum qui corporis ipsam est.
Sint numquam provident ratione quibusdam ut velit omnis maiores. Eius reprehenderit delectus similique alias et molestiae. Eaque est ducimus pariatur voluptas. Rerum quis veritatis odit delectus.
Numquam aperiam exercitationem reprehenderit quo doloribus. Voluptate fugit suscipit sed voluptatem. Perspiciatis qui explicabo delectus at perspiciatis.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...