Yanzhou Coal Mining - Comparative Multiple Analysis

Yanzhou Coal Mining (Comparative Multiple Analysis)

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

Notes on the Comparative Multiple Analysis of Yanzhou Coal Mining

WikiWealth compares Yanzhou Coal Mining'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 Yanzhou Coal Mining's comparative analysis.

Notes from the analysis:

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


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

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

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