BioSphere Medical - Comparative Multiple Analysis

BioSphere Medical (Comparative Multiple Analysis)

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Notes on the Comparative Multiple Analysis of BioSphere Medical

WikiWealth compares BioSphere Medical'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 BioSphere Medical's comparative analysis.

Notes from the analysis:

1. WikiWealth uses quantitative measures to determine the multiple range for BioSphere Medical.
2. Free cash flow to the firm (FCF) multiple is free cash flow to equity holders plus interest owed to BioSphere Medical'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 BioSphere Medical's Analysis


How does this work? The Comparative Investment Analysis determines the value of BioSphere Medical by comparing BioSphere Medical 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 BioSphere Medical.

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

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