Gulf Island Fabrication - Comparative Multiple Analysis

Gulf Island Fabrication (Comparative Multiple Analysis)


Notes on the Comparative Multiple Analysis of Gulf Island Fabrication

WikiWealth compares Gulf Island Fabrication'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 Gulf Island Fabrication's comparative analysis.

Notes from the analysis:

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

How does this work? The Comparative Investment Analysis determines the value of Gulf Island Fabrication by comparing Gulf Island Fabrication 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 Gulf Island Fabrication.

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

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