Hello all,
I know that we use NAV model to value E&P companies. So in NAV we use Revenue-production cost-capex-taxes as cash flows
Why don't we subtract interest expense here, as NAV is only for equity holders. Thanks.
| +330 | Which Offer to Accept: UBS Analyst Role or Part Time Cashier at the Local Taco Bell | 42 | 15m |
| +276 | Roku-Fox Deal - UBS Misses Out on yet another deals after years chasing this deal | 26 | 46m |
| +262 | AI is insane | 33 | 1h |
| +243 | I Snuck Into UBS Office And Took A Shit On The Floor | 23 | 39m |
| +200 | Useless associates | 34 | 49m |
| +181 | Differences in Restructuring Teams? | 32 | 46m |
| +174 | How do you manage nerves in IB technical interviews? | 16 | 10h |
| +154 | TPH V.S. Mizuho [HOU] | 24 | 47m |
| +149 | GF is an IB Analyst at a top BB, hates it, what exit options does she have? | 26 | 13h |
| +148 | Shame on you Evercore - SA 28 | 39 | 1h |
Career Resources
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
bump
What you outlined is an asset level NAV. Usually you’ll overlay a corporate model which will incorporate debt.
Thanks!
So you mean while calculating a firm's NAV, I would need to subtract interest?
So it would be like adding all asset level NAV's - tax adjusted interest expense?
Voluptas sunt hic porro similique ullam. Ab voluptatem et dolorem sint. Est fugit aliquam laborum libero odio consequatur. Rerum saepe dolore ipsum dolores assumenda qui amet.
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...