Capital Senior Living - Comparative Multiple Analysis

Capital Senior Living (Comparative Multiple Analysis)

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Notes on the Comparative Multiple Analysis of Capital Senior Living

WikiWealth compares Capital Senior Living'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 Capital Senior Living's comparative analysis.

Notes from the analysis:

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


How does this work? The Comparative Investment Analysis determines the value of Capital Senior Living by comparing Capital Senior Living 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 Capital Senior Living.

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

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