Valutico

MAY 19, 2025

EV typically includes Market Capitalization, Debt, Minority Interest, and Preferred Equity, minus Cash & Cash Equivalents. A primary advantage is providing a “debt-neutral” valuation, making comparisons easier between companies with different capital structures. How to Calculate EBITDA?

EBITDA 52

EBITDA Enterprise Value Capital Structure EBIT 52

Equilest

MARCH 28, 2025

How does negative equity affect dividends? Can a company still raise capital with negative equity? This pivotal metric is typically calculated by summing the market capitalization and net debt of the organization. Is negative equity value common in startups?

Equity 40

Equity Net Debt Enterprise Value Capital Structure 40

Valutico

SEPTEMBER 22, 2023

The income-based approach determines a company’s value by assessing its anticipated future income-generating potential, employing methodologies such as Discounted Cash Flow (DCF) Analysis, Capitalization of Earnings, the Income Multiplier Method, Dividend Discount Model (DDM), and Earnings-Based Valuation.

Discounted Cash Flow 52

Discounted Cash Flow Intangible Assets Book Value Asset-based Approach 52

Musings on Markets

OCTOBER 25, 2022

An intuitive reading of the FCFE is that it is cash available to be returned to equity investors, either in the form of dividends or as cash buybacks. It is the rare firm that follows a residual cash policy, returning its FCFE every year as dividends and/or buybacks.

Dividends 108

Dividends EBITDA Equity Start-ups 108