ViaSat - Comparative Multiple Analysis

ViaSat (Comparative Multiple Analysis)

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Notes on the Comparative Multiple Analysis of ViaSat

WikiWealth compares ViaSat'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 ViaSat's comparative analysis.

Notes from the analysis:

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


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

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

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