Assisted Living Concepts - Comparative Multiple Analysis

Assisted Living Concepts (Comparative Multiple Analysis)


Notes on the Comparative Multiple Analysis of Assisted Living Concepts

WikiWealth compares Assisted Living Concepts'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 Assisted Living Concepts's comparative analysis.

Notes from the analysis:

1. WikiWealth uses quantitative measures to determine the multiple range for Assisted Living Concepts.
2. Free cash flow to the firm (FCF) multiple is free cash flow to equity holders plus interest owed to Assisted Living Concepts'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 Assisted Living Concepts's Analysis

How does this work? The Comparative Investment Analysis determines the value of Assisted Living Concepts by comparing Assisted Living Concepts 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 Assisted Living Concepts.

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

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