Pharma Resources - Comparative Multiple Analysis

Pharma Resources (Comparative Multiple Analysis)

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Notes on the Comparative Multiple Analysis of Pharma Resources

WikiWealth compares Pharma Resources'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 Pharma Resources's comparative analysis.

Notes from the analysis:

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


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

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

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