Exxon Mobil - Comparative Multiple Analysis

Exxon Mobil (Comparative Multiple Analysis)

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Notes on the Comparative Multiple Analysis of Exxon Mobil

WikiWealth compares Exxon Mobil'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 Exxon Mobil's comparative analysis.

Notes from the analysis:

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


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

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

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