Raymond James - Comparative Multiple Analysis

Raymond James (Comparative Multiple Analysis)

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Notes on the Comparative Multiple Analysis of Raymond James

WikiWealth compares Raymond James'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 Raymond James's comparative analysis.

Notes from the analysis:

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


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

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

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