Valuation of Metals & Mining Companies Part I: Introduction | Sell Side Handbook
Multiples analysis is a key component of valuation within Investment Banking and Equity Research as multiples are calculated based on actual market information and each multiple tells a different story about the state of a business. Analysts usually calculate a variety of multiples to determine the worth of a business and compare its performance relative to similar businesses. In most cases, analysts calculate a combination of equity and enterprise value multiples and present the valuation in a football field chart, which shows the valuation range derived from each multiple as well as valuation ranges derived from other valuation methodologies. Metals and mining investment banking analysts have to update the comparables database whenever there is new financial reporting. This is usually done on a quarterly basis or when acquisitions or other events that will cause a change in the reserve base or production occur. Usually, the comps file will be one very large Excel file with each compa
Multiples analysis is a key component of valuation within Investment Banking and Equity Research as multiples are calculated based on actual market information and each multiple tells a different story about the state of a business. Analysts usually calculate a variety of multiples to determine the worth of a business and compare its performance relative to similar businesses. In most cases, analysts calculate a combination of equity and enterprise value multiples and present the valuation in a football field chart, which shows the valuation range derived from each multiple as well as valuatio
Explore this link on the map →