Lake Country Advisors

AUGUST 8, 2024

Accurate and appropriate valuation is one of the pillars of maximizing the profits from a business sale. It’s integral to ensuring that the sale benefits all stakeholders and should be one of your priorities before advertising it to potential buyers. First, identify a group of similar publicly traded technology companies.

Valuation 97

Valuation Discounted Cash Flow S&P DCF Analysis 97

Sun Acquisitions

OCTOBER 13, 2023

This approach relies on analyzing the market value of comparable publicly traded companies, known as guideline companies or multiples. By comparing key financial metrics such as price-to-earnings (P/E) ratios, price-to-sales (P/S) ratios, and price-to-book (P/B) ratios, analysts can estimate the target company’s value.

Mergers and Acquisitions 59

Mergers and Acquisitions Valuation Mergers Acquisitions 59

Sun Acquisitions

NOVEMBER 17, 2023

Comparable Company Analysis (CCA): CCA involves comparing the target company to similar publicly traded companies. The valuation is based on key financial metrics such as Price-to-Earnings (P/E) ratios, Price-to-Sales (P/S) ratios, or Price-to-Book (P/B) ratios. It involves forecasting cash flows and applying a discount rate.

Mergers and Acquisitions 59

Mergers and Acquisitions Valuation M&A Mergers 59

Francine Way

JULY 10, 2017

To answer this question, three things are needed: The company’s intrinsic value: Typically based on cash flow streams available to shareholders, premiums paid in the marketplace, and scarcity associated with the target. The range of value: Typically depends on performance variables (sales, margins, and capital requirements).

Valuation 130

Valuation M&A Equities Shares 130

RKJ Partners

AUGUST 6, 2017

For the purposes of this article, we will focus on valuation from the perspective of a merger and acquisition transaction, and specifically from the viewpoint of a buyer evaluating a business for sale. This means that the method evaluates the future cash flow of the company and then discounts those cash flows to the present day.

M&A 40

M&A Valuation Mergers and Acquisitions Discounted Cash Flow 40