Veolia Environnement - Comparative Multiple Analysis

Veolia Environnement (Comparative Multiple Analysis)

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Notes on the Comparative Multiple Analysis of Veolia Environnement

WikiWealth compares Veolia Environnement'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 Veolia Environnement's comparative analysis.

Notes from the analysis:

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


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

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

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