Beneficial Mutual - Comparative Multiple Analysis

Beneficial Mutual (Comparative Multiple Analysis)

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Notes on the Comparative Multiple Analysis of Beneficial Mutual

WikiWealth compares Beneficial Mutual's revenue, EBITDA, and EBIT multiples to their peers in order to determine the appropriate fair valuation. Click in the top right corner to experiment with Beneficial Mutual's comparative analysis.

Notes from the analysis:

1. WikiWealth uses quantitative measures to determine the multiple range for Beneficial Mutual.
2. Free cash flow to the firm (FCF) multiple is free cash flow to equity holders plus interest owed to Beneficial Mutual's debt holders.
3. Multiples incorporate benefits due to economies of scale; WikiWealth compares absolute enterprise value multiples to competitor's multiples.
4. WikiWealth excludes outliers when calculating individual company multiples.

Helpful Information for Beneficial Mutual's Analysis


How does this work? The Comparative Investment Analysis determines the value of Beneficial Mutual by comparing Beneficial Mutual financial ratios, prices, growth rates, margins, etc. to those of relevant peer groups.

Value Investing Importance? This method is widely used by investment professionals to determine the correct price of investments, especially initial public offerings (IPOs). It is one element of WikiWealth's three Wall Street approaches used to determine the correct fair value of Beneficial Mutual.

See the Beneficial Mutual cash flow (DCF) analysis for a completely different approach that's popular on Wall Street for determining the value of an investment in Beneficial Mutual.

Also, see the Beneficial Mutual's buffett intrinsic valuation analysis for WikiWealth's attempt to replicate the investing formula's used by Warren Buffett and Beneficial Mutual's valuation conclusion for a quick summary.