Covidien (Comparative Multiple Analysis)
Improve your investment analysis with by seeing the Covidien's Discounted Cash Flow analysis, Covidien's Warren Buffet analysis, and Covidien's Weighted Average Cost of Capital (WACC) Analysis.
Notes on the Comparative Multiple Analysis of Covidien
WikiWealth compares Covidien'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 Covidien's comparative analysis.
Notes from the analysis:
1. WikiWealth uses quantitative measures to determine the multiple range for Covidien.
Helpful Information for Covidien's Analysis
How does this work? The Comparative Investment Analysis determines the value of Covidien by comparing Covidien 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 Covidien.
Also, see the Covidien's buffett intrinsic valuation analysis for WikiWealth's attempt to replicate the investing formula's used by Warren Buffett and Covidien's valuation conclusion for a quick summary.