Republic Services - Comparative Multiple Analysis

Republic Services (Comparative Multiple Analysis)

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Notes on the Comparative Multiple Analysis of Republic Services

WikiWealth compares Republic Services'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 Republic Services's comparative analysis.

Notes from the analysis:

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


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

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

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