Hudson City Bancorp - Comparative Multiple Analysis

Hudson City Bancorp (Comparative Multiple Analysis)


Notes on the Comparative Multiple Analysis of Hudson City Bancorp

WikiWealth compares Hudson City Bancorp'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 Hudson City Bancorp's comparative analysis.

Notes from the analysis:

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

How does this work? The Comparative Investment Analysis determines the value of Hudson City Bancorp by comparing Hudson City Bancorp 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 Hudson City Bancorp.

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

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