Valutico

MAY 19, 2025

This ratio offers insight into a companys profitability and relative value by comparing its total worth (Enterprise Value, encompassing debt and equity) to its operational earnings (EBITDA). The multiple is calculated as Enterprise Value (EV) divided by EBITDA. What is Enterprise Value?

EBITDA 52

EBITDA Enterprise Value Capital Structure EBIT 52

Brian DeChesare

MAY 3, 2023

When I started offering financial modeling training , I never expected to get questions about a methodology like the Dividend Discount Model (DDM). Otherwise, the written version follows: Why Use a Dividend Discount Model? If you sum up these numbers, you can see whether the company is valued appropriately.

Dividends 64

Dividends Terminal Value Enterprise Value Equity 64

Equilest

MARCH 28, 2025

How does negative equity affect dividends? Is negative equity value common in startups? Can a company still raise capital with negative equity? Equity Value vs. Enterprise Value Key Differences Equity value and enterprise value are two distinct but related measures of a company's worth.

Equity 40

Equity Net Debt Enterprise Value Capital Structure 40

Valutico

DECEMBER 15, 2022

Example: Here’s an example of a particular metric you might use: In order to determine the Enterprise Value of the business, you find the EBITDA from the business you’re valuing, and then multiply this by the EBITDA multiple observed from the other comparable companies. SaaS start-ups are valued at 10x Sales”.

Precedent Transaction Analysis 52

Precedent Transaction Analysis Comparable Company Analysis EBITDA Enterprise Value 52

Valutico

DECEMBER 15, 2022

Example: Here’s an example of a particular metric you might use: In order to determine the Enterprise Value of the business, you find the EBITDA from the business you’re valuing, and then multiply this by the EBITDA multiple observed from the other comparable companies. SaaS start-ups are valued at 10x Sales”.

Precedent Transaction Analysis 52

Precedent Transaction Analysis Comparable Company Analysis EBITDA Enterprise Value 52

Brian DeChesare

MAY 14, 2025

All REITs, including data center REITs (everything on the list above), must distribute a high percentage of their Net Income in the form of Dividends to maintain their status and avoid corporate-level taxes. Because of this distribution requirement, REITs cannot maintain high Cash balances and must issue Debt and Equity regularly.

Banking 59

Banking Finance Equity Dividends 59

Brian DeChesare

JUNE 1, 2022

Traditionally, the sector was viewed as a defensive play for investors who wanted stable dividends and no drama. Companies tend to offer high, stable dividend yields, and they finance their massive capital expenditures primarily with debt , with the highest leverage ratios of any industry outside of financial institutions.

Banking 98

Banking Equity Book Value Capital Structure 98