Vivo Participacoes - Comparative Multiple Analysis

Vivo Participacoes (Comparative Multiple Analysis)


Notes on the Comparative Multiple Analysis of Vivo Participacoes

WikiWealth compares Vivo Participacoes'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 Vivo Participacoes's comparative analysis.

Notes from the analysis:

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

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

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

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