PAM Transport - Comparative Multiple Analysis

PAM Transport (Comparative Multiple Analysis)


Notes on the Comparative Multiple Analysis of PAM Transport

WikiWealth compares PAM Transport'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 PAM Transport's comparative analysis.

Notes from the analysis:

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

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

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

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