Briggs & Stratton - Comparative Multiple Analysis

Briggs & Stratton (Comparative Multiple Analysis)


Notes on the Comparative Multiple Analysis of Briggs & Stratton

WikiWealth compares Briggs & Stratton'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 Briggs & Stratton's comparative analysis.

Notes from the analysis:

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

How does this work? The Comparative Investment Analysis determines the value of Briggs & Stratton by comparing Briggs & Stratton 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 Briggs & Stratton.

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

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