Portland General Electric - Comparative Multiple Analysis

Portland General Electric (Comparative Multiple Analysis)


Notes on the Comparative Multiple Analysis of Portland General Electric

WikiWealth compares Portland General Electric'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 Portland General Electric's comparative analysis.

Notes from the analysis:

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

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

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

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