What do you know about valuation techniques?
4 years ago
Financial Management
For calculating the valuation of a business or stocks, generally, the following three types of valuation techniques are used:
- DCF analysis – helps in forecasting future cash flows
- Comparable company analysis – helps in comparing the current worth of one business when compared to other similar businesses using P/E, EBITDA
- Precedent transactions – helps in identifying the transactional values of a company by comparing a business with other business which has been sold recently
Sanisha Maharjan
Jan 18, 2022