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9 Startup Valuation Methods: 5 to Use, 4 to Avoid

Equidam

Key value drivers include intangible assets like intellectual property, the strength and experience of the founding team, the perceived size of the market opportunity, network effects, brand recognition, and, critically, the projected ability to generate significant cash flows in the future.

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Return on Equity, Earnings Yield and Market Efficiency: Back to Basics!

Musings on Markets

I pointed to the flaw in the logic, but the comments thereafter suggested such deep confusion about what returns on equity or capital measure, and what comprises an efficient market, that I think it does make sense to go back to basics and see if some of the confusion can be cleared up.

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Data Update 1 for 2025: The Draw (and Danger) of Data

Musings on Markets

It is the end of the first full week in 2025, and my data update for the year is now up and running, and I plan to use this post to describe my data sample, my processes for computing industry statistics and the links to finding them. Standard Deviation in Equity/Firm Value 2. Book Value Multiples 3. Profit Margins 1.

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Data Update 8 for 2025: Debt, Taxes and Default - An Unholy Trifecta!

Musings on Markets

When the debt is within reasonable bounds (scaling up with the company), a company can borrow money, and not lower its ratings. We can start with dollar value debt, with two broad measures gross debt , representing all interest-bearing debt and lease debt, and net debt, which nets cash and marketable securities from gross debt.

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To Bitcoin or not to Bitcoin? A Corporate Cash Question!

Musings on Markets

I believe that it is a terrible idea for most companies, and before Bitcoin believers get riled up, my reasoning has absolutely nothing to do with what I think of bitcoin as an investment and more to do with how little I trust corporate managers to time trades right.

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Equitest's Review on techozens.com: "The Best & Trusted Business Appraisal Software for Startups, CPA"

Startup Valuation Blog

Equitest ‘s online valuation platform includes all the tools needed to value a firm, or for a start-up to succeed: Ideally, you would need to choose the best provider that will fulfill all of your requirements in a cost-effective package. Let’s get started. . Have you ever wondered how much does your company worth?

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Invisible, yet Invaluable: Valuing Intangibles in the Birkenstock IPO!

Musings on Markets

A few days ago, I valued Instacart ahead of its initial public offering , and noted that the reception that the stock gets will be a good barometer of where risk capital stands in the market, right now. Within the investment community, there has always been a clear recognition of the importance of intangibles in driving investment value.