International Peer-Reviewed Journal•Open Access•ISSN 2456-8880
irejournals@gmail.com•+91-7433024337

Home / Current Issue / Paper 1703882

1703882 Vol 6 · Issue 5 Download Paper

The Labyrinths of Corporate Valuation: A Case Study

Aman Pushp Bhakti Agarwal Saumya Singh

Subject area: Management and Commerce  ·  Area of research: Corporate Valuation

Abstract

The case study is the theoretical overview of corporate valuation issues and approaches, including Discounted Cash Flow Valuation, Relative Valuation, and Contingent Claim Valuation. The value of the firm or the equity capital is derived through this method. The basic method is Discounted cash flow (DCF) valuation; newer methods include Relative Valuation (RV) and Contingent Claim Valuation (CCV), Valuation models. The individual model uses a particular premise, if the premise is real and correct, then the value will be appropriately accurate. The model should be chosen post consideration of the purpose of valuation. So, the methods cannot be categorized as good or bad. Different models support different premises and are useful for different goals and aims. The requirement for an appropriate valuation is to define the purpose and to find the most appropriate technique.

Keywords

Valuation, Discounted Cash Flow Valuation, Relative Valuation, and Contingent Claim Valuation

References

[1] A. C. Patil & S. Rastogi, - Time-Varying Price–Volume Relationship and Adaptive Market Efficiency: A Survey of the Empirical Literature, || Journal of Risk and Financial Management, vol 12, pp. 1-18, June 2019.

[2] A. C. Patil & S. Rastogi, - Multifractal Analysis of Market Efficiency across Structural Breaks: Implications for the Adaptive Market Hypothesis,|| Journal of Risk and Financial Management, vol. 13, pp. 1-18, Oct 2020.

[3] A. C. Patil & S. Rastogi, - Multifractal Analysis of Market Efficiency across Structural Breaks: Implications for the Adaptive Market Hypothesis,|| The Mattingley Publishing Co., Inc., vol. 83, pp. 16646-16660, June 2020.

[4] A. Damodaran, Damodar on Valuation: Security Analysis for Investment And Corporate Finance, 2nd ed. U.K.: Wiley, 2006, ch 1, pp. 1-23.

[5] A, Kiss, - Implementation of Corporate Valuation Techniques In Practice,|| The Annals of the University of Oradea. Economic Sciences, vol. 24, pp. 831-838, July 2015.

[6] A. Sharma & S. Rastogi, - Impact of Efficiency on Voluntary Disclosure of Non-Banking Financial Company—Microfinance Institutions in India,|| Journal of Risk and Financial Management, vol. 14, pp. 289-311, June, 2021.

[7] D. Talas, - Valuation Methods- Literature Review,|| The Annals of the University of Oradea. Economic Sciences, vol. 24, pp. 810-816, July 2015.

[8] J. Torrez, M. Jafari & A. H. Juma’h, - Corporate Valuation: A Literature Review,|| Revista Empresarial Inter Metro / Inter Metro Business Journal Fall, vol. 2, pp – 39-58, 2006.

[9] L.E. DeAngelo, - Equity Valuation and Corporate Control, || The Accounting Review, vol. 65, pp. 93-112, Jan, 1990

[10] L. Mukhlynina, & K. G. Nyborg, - The choice of valuation techniques in practice: Education versus profession, || Critical Finance Review, vol. 9, pp. 201-265, Sept 2020.

[11] M. A. Esteban, - Most Important Models of Business Valuation: DCF, Relatives and Options, Properly Estimate the Value of Mexican Companies?,|| International Journal of Advances in Management and Economics, vol. 1, pp. 51-63, Nov-Dec 2010.

[12] M. S. Islam, - Corporate Valuation Techniques & Applications : A Case Study,|| SSRN Journal, pp. 1-23, July 2020.

[13] S. Labson, - Asset Valuation and Pricing – Some Popular Myths and Misconceptions,|| in Proceedings of the 2nd Annual Competition and Economic Regulation Conference (ACER), Livingston, Zambia, 2016, 1–10.

[14] S. Rastogi, - Efficiency and Capital Structure of Companies in India,|| ELK: Journal of Finance & Risk Management, vol. 2, pp. 565-573, 2011.

How to cite this paper

Aman Pushp, Bhakti Agarwal, Saumya Singh "The Labyrinths of Corporate Valuation: A Case Study" Iconic Research And Engineering Journals Volume 6 Issue 5 2022 Page 29-31
Aman Pushp, Bhakti Agarwal, Saumya Singh "The Labyrinths of Corporate Valuation: A Case Study" Iconic Research And Engineering Journals, vol. 6, no. 5, Nov. 2022
Aman Pushp, Bhakti Agarwal, Saumya Singh (2022). The Labyrinths of Corporate Valuation: A Case Study. Iconic Research And Engineering Journals, 6(5).
Aman Pushp, Bhakti Agarwal, Saumya Singh "The Labyrinths of Corporate Valuation: A Case Study" Iconic Research And Engineering Journals, vol. 6, no. 5, Nov. 2022.
@article{1703882,
      author = {Aman Pushp, Bhakti Agarwal, Saumya Singh},
      title = {The Labyrinths of Corporate Valuation: A Case Study},
      journal = {Iconic Research And Engineering Journals},
      year = {2022},
      volume = {6},
      number = {5},
      pages = {29-31},
      issn = {2456-8880},
      url = {https://www.irejournals.com/formatedpaper/1703882.pdf},
      abstract = {The case study is the theoretical overview of corporate valuation issues and approaches, including Discounted Cash Flow Valuation, Relative Valuation, and Contingent Claim Valuation. The value of the firm or the equity capital is derived through this method. The basic method is Discounted cash flow (DCF) valuation; newer methods include Relative Valuation (RV) and Contingent Claim Valuation (CCV), Valuation models. The individual model uses a particular premise, if the premise is real and correct, then the value will be appropriately accurate. The model should be chosen post consideration of the purpose of valuation. So, the methods cannot be categorized as good or bad. Different models support different premises and are useful for different goals and aims. The requirement for an appropriate valuation is to define the purpose and to find the most appropriate technique.},
      keywords = {Valuation, Discounted Cash Flow Valuation, Relative Valuation, and Contingent Claim Valuation},
      month = {November},
  }