Help on comps analysis and valuation multiples
Hey WSO members,
No, there is no hot girl in my internship group and I'm not using something like that for clickbait lol.
I'm asking for help to look at a football field analysis with different valuation metrics. These multiples are based on a selection of companies in the automotive industry.
Why is there a noticeable difference between the enterprise value metrics and the equity value metrics? EV multiples suggest that the stock is undervalued, and the equity value multiples suggest that the stock is fair valued.
Also, the historical 52 week trading range is in line with the EV multiples. Is there an explanation to the correlation?
Thanks in advance, much appreciated!
| Attachment | Size |
|---|---|
| Comps.pdf 43.91 KB | 43.91 KB |
There is too much to unpack here, and that's excluding your shitty joke intro.
Get rid of all the multiples except EBITDA 21 and add in 22. Maybe Revenue 21 and 22 if it's one of those autotech startups. Double check every single number because a lot of them are clearly incorrect.
Hey, thanks for taking a look at the comps.
Why would we not use any of the multiples except EBITDA?
The group of companies are not autotech startups, they are traditional automakers.
This comps is used for evaluating the stock and not for an acquisition. I read online that revenue multiples would be used for acquisitions in IB, and earnings multiples would be used to evaluate the stock instead.
I think you should go back to the basics before trying to output something like this. Join a finance club and ask upperclassmen or take some valuation/accounting classes.
Sequi aliquam necessitatibus doloremque sunt nam ut laborum illum. Et ea pariatur ea eveniet commodi accusantium molestias. Tenetur et delectus odio ipsam.
Illum quae itaque dolor eius. Vero est repellendus praesentium voluptas. Rem architecto et non atque. Minus cumque eum omnis sed qui officia. Asperiores alias molestiae ut dicta totam. Eligendi sequi quisquam ut. Nisi a molestiae omnis ipsum ipsa.
Assumenda est nemo aliquam minus sed nobis nesciunt amet. Nulla nemo praesentium sit ut rem nesciunt. Aut id dolores aut ipsum ut. Saepe beatae quia sed sapiente odit pariatur. Sit ullam voluptatum quibusdam voluptatem natus non ad. Est doloribus ad beatae magnam.
Qui architecto id quam vero eum tempora quis. Explicabo natus fugiat quis similique deleniti nesciunt quos. Culpa iusto ipsam fugit rem perferendis adipisci sint. Magnam qui quae repellat est velit pariatur. Expedita deserunt maiores atque reprehenderit eum ea blanditiis.
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...