PerkinElmer - Comparative Multiple Analysis

PerkinElmer (Comparative Multiple Analysis)


Notes on the Comparative Multiple Analysis of PerkinElmer

WikiWealth compares PerkinElmer'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 PerkinElmer's comparative analysis.

Notes from the analysis:

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

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

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

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