Estimating balance sheet on basic models where CIM provides no guidance - use comps?
Hi - wondering how to estimate balance sheet when I'm doing a basic (3-4h) CIM model where there is no BS information. I am thinking look at comps and do assets and liabilities proportionate to that comp's revenue. Thoughts?
Wait... did you actually get asked to do this? If so, that's a pretty out of pocket ask lol
This sounds very difficult. I can only think about ways to guess at PP&E by looking at D&A, revenue, and capex. I'd think about using % based on industry comps. Usually you'd have for assets the current assets are 40% and the majority of the assets are goodwill or PP&E. For liabilities it would be mostly debt and book equity/APIC. Anyone have experience?
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