Applied Signal Tech - Comparative Multiple Analysis

Applied Signal Tech (Comparative Multiple Analysis)

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Notes on the Comparative Multiple Analysis of Applied Signal Tech

WikiWealth compares Applied Signal Tech'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 Applied Signal Tech's comparative analysis.

Notes from the analysis:

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


How does this work? The Comparative Investment Analysis determines the value of Applied Signal Tech by comparing Applied Signal Tech 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 Applied Signal Tech.

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

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