PS Business Parks - Comparative Multiple Analysis

PS Business Parks (Comparative Multiple Analysis)

placeholder_large_analysis.png
Banner%20-%20The%20perfect%20tool%20for%20investors%281%29.gif

Notes on the Comparative Multiple Analysis of PS Business Parks

WikiWealth compares PS Business Parks'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 PS Business Parks's comparative analysis.

Notes from the analysis:

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


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

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

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