American Capital Agency - Comparative Multiple Analysis

American Capital Agency (Comparative Multiple Analysis)

Home Comparative Index American Capital Agency

►Summary | Profile | News | Chart | SWOT | Cash Flow | Comps | Buffett | WACC

Link to services page

placeholder_large_analysis.png

Improve your investment analysis with by seeing the American Capital Agency's Discounted Cash Flow analysis, American Capital Agency's Warren Buffet analysis, and American Capital Agency's Weighted Average Cost of Capital (WACC) Analysis.

Notes on the Comparative Multiple Analysis of American Capital Agency

WikiWealth compares American Capital Agency's revenue, EBITDA, and EBIT multiples to their peers in order to determine the appropriate fair valuation. Click in the top right corner to experiment with American Capital Agency's comparative analysis.

Notes from the analysis:

1. WikiWealth uses quantitative measures to determine the multiple range for American Capital Agency.
2. Free cash flow to the firm (FCF) multiple is free cash flow to equity holders plus interest owed to American Capital Agency's debt holders.
3. Multiples incorporate benefits due to economies of scale; WikiWealth compares absolute enterprise value multiples to competitor's multiples.
4. WikiWealth excludes outliers when calculating individual company multiples.

Helpful Information for American Capital Agency's Analysis


How does this work? The Comparative Investment Analysis determines the value of American Capital Agency by comparing American Capital Agency financial ratios, prices, growth rates, margins, etc. to those of relevant peer groups.

Value Investing Importance? This method is widely used by investment professionals to determine the correct price of investments, especially initial public offerings (IPOs). It is one element of WikiWealth's three Wall Street approaches used to determine the correct fair value of American Capital Agency.

See the American Capital Agency cash flow (DCF) analysis for a completely different approach that's popular on Wall Street for determining the value of an investment in American Capital Agency.

Also, see the American Capital Agency's buffett intrinsic valuation analysis for WikiWealth's attempt to replicate the investing formula's used by Warren Buffett and American Capital Agency's valuation conclusion for a quick summary.