Telephone and Data Sys - Comparative Multiple Analysis

Telephone and Data Sys (Comparative Multiple Analysis)

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Notes on the Comparative Multiple Analysis of Telephone and Data Sys

WikiWealth compares Telephone and Data Sys'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 Telephone and Data Sys's comparative analysis.

Notes from the analysis:

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


How does this work? The Comparative Investment Analysis determines the value of Telephone and Data Sys by comparing Telephone and Data Sys 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 Telephone and Data Sys.

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

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