Global Traffic Network - Comparative Multiple Analysis

Global Traffic Network (Comparative Multiple Analysis)

placeholder_large_analysis.png

Notes on the Comparative Multiple Analysis of Global Traffic Network

WikiWealth compares Global Traffic Network'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 Global Traffic Network's comparative analysis.

Notes from the analysis:

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


How does this work? The Comparative Investment Analysis determines the value of Global Traffic Network by comparing Global Traffic Network 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 Global Traffic Network.

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

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