NET Servicos Comunicacao - Comparative Multiple Analysis

NET Servicos Comunicacao (Comparative Multiple Analysis)


Notes on the Comparative Multiple Analysis of NET Servicos Comunicacao

WikiWealth compares NET Servicos Comunicacao'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 NET Servicos Comunicacao's comparative analysis.

Notes from the analysis:

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

How does this work? The Comparative Investment Analysis determines the value of NET Servicos Comunicacao by comparing NET Servicos Comunicacao 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 NET Servicos Comunicacao.

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

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