Tessco Tech - Comparative Multiple Analysis

Tessco Tech (Comparative Multiple Analysis)

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

Notes on the Comparative Multiple Analysis of Tessco Tech

WikiWealth compares Tessco Tech'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 Tessco Tech's comparative analysis.

Notes from the analysis:

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


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

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

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