Emergent Biosolutions - Comparative Multiple Analysis

Emergent Biosolutions (Comparative Multiple Analysis)


Notes on the Comparative Multiple Analysis of Emergent Biosolutions

WikiWealth compares Emergent Biosolutions'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 Emergent Biosolutions's comparative analysis.

Notes from the analysis:

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

How does this work? The Comparative Investment Analysis determines the value of Emergent Biosolutions by comparing Emergent Biosolutions 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 Emergent Biosolutions.

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

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