Session 18: Relative Valuation – Analysis and Application
Episode details
Episode description
In this session, we extended the discussion of the analysis of multiples by looking at PEG ratios, EV multiples and book value multiples. Each multiple, we argued, has a driver and companion variable.We then moved on to application and how best to find comparable firms and control for differences. Start of the class test: http://www.stern.nyu.edu/~adamodar/pdfiles/eqnotes/tests/relva;2atest.pdf Slides: http://www.stern.nyu.edu/~adamodar/podcasts/valfall16/valsession18.pdf Post class test: http://www.stern.nyu.edu/~adamodar/pdfiles/eqnotes/postclass/session18Atest.pdf Post class test solution: http://www.stern.nyu.edu/~adamodar/pdfiles/eqnotes/postclass/session18Asoln.pdf