Developers Diversified Rlty - Comparative Multiple Analysis

Developers Diversified Rlty (Comparative Multiple Analysis)


Notes on the Comparative Multiple Analysis of Developers Diversified Rlty

WikiWealth compares Developers Diversified Rlty'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 Developers Diversified Rlty's comparative analysis.

Notes from the analysis:

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

How does this work? The Comparative Investment Analysis determines the value of Developers Diversified Rlty by comparing Developers Diversified Rlty 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 Developers Diversified Rlty.

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

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