Reynolds Holding

APRIL 25, 2023

In business schools, managers are taught to maximize the net present value (NPV) of future cash flows. We propose a theory of corporate finance based on the idea that firm managers maximize EPS: the difference between net operating profits and interest expense divided by total shares outstanding.

Net Present Value 59

Net Present Value Corporate Finance Finance Equity 59

Valutico

MAY 6, 2024

Valutico | May 7, 2024 Valuation is really important in finance. It’s about figuring out how much an asset or company is worth right now. This guide talks about the main ways we figure out value during M&A deals, why they’re useful, and what challenges they bring.

Discounted Cash Flow 52

Discounted Cash Flow Precedent Transaction Analysis Weighted Average Cost of Capital Comparable Company Analysis 52

Valutico

FEBRUARY 27, 2024

Investors use this rate to account for the time value of money and the risk associated with an investment. The higher the risk, the higher the discount rate, helping investors make informed decisions about potential returns. It represents the cost a company incurs to access funds through debt financing.

Discounted Cash Flow 52

Discounted Cash Flow Risk Premium Risk-free Rate Weighted Average Cost of Capital 52

Reynolds Holding

APRIL 17, 2022

Managers who anticipate these agency problems won’t invest in a moonshot even if they believe it has a positive net present value. Investors are willing to finance an innovation project when early results from the project – revenue trends, user growth, clinical trial data – reliably indicate future profits.

Technology 111

Technology Net Present Value Finance Equity 111

Reynolds Holding

MAY 17, 2022

securities market, but there is a significant debate about their costs and benefits to investors. Fourth, SCA can reduce management incentives to undertake positive net present value (NPV) investments that are innovative but risky and increase the difficulty of attracting and retaining high-caliber outside directors.

Net Present Value 116

Net Present Value Marketability Finance 116

Value Scope

JULY 21, 2020

“The notion that we can come together and we can get our regulator to focus on an amorphous set of qualities other than the long-term financial value of a corporation, I think we’re fooling ourselves,” she said that day on CNBC’s Squawk on the Street. In 2018, the number was about $5 billion. What about stock price?

Intangible Assets 130

Intangible Assets Beta Alpha Unlevered Beta 130

Reynolds Holding

OCTOBER 24, 2022

This pattern is somewhat surprising because higher greenium (green premium) values should be expected in the polluting sectors given the investors’ desire to provide financing to these companies to improve their environmental impact. Third, we evaluated the value implications of green bonds for issuers. ENDNOTES. [1]

Net Present Value 59

Net Present Value Marketability Equity Finance 59