{"product_id":"the-art-of-company-valuation-and-financial-statement-analysis-9781118843093","title":"The Art of Company Valuation and Financial","description":"\u003cb\u003eBook Synopsis\u003c\/b\u003e\u003cbr\u003e\u003cbr\u003e\u003cbr\u003e\u003cb\u003eTrade Review\u003c\/b\u003e\u003cbr\u003eNicholas Schmidlin provides enough worked, real-life case studies to keep the most avid number-cruncher happy. But he also firmly believes that valuation is an art, not a science. (The CA, August 2014)\u003cbr\u003e\u003cbr\u003e\u003cb\u003eTable of Contents\u003c\/b\u003e\u003cbr\u003e\u003cp\u003eAcknowledgements xi\u003c\/p\u003e \u003cp\u003ePreface xiii\u003c\/p\u003e \u003cp\u003e\u003cb\u003e1 Introduction 1\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e1.1 Importance and development of business accountancy 1\u003c\/p\u003e \u003cp\u003e1.1.1 Limited significance of financial statements 5\u003c\/p\u003e \u003cp\u003e1.1.2 Special features of the financial sector 7\u003c\/p\u003e \u003cp\u003e1.2 Composition and structure of financial statements 7\u003c\/p\u003e \u003cp\u003e1.2.1 Income statement 7\u003c\/p\u003e \u003cp\u003e1.2.2 Balance sheet 21\u003c\/p\u003e \u003cp\u003e1.2.3 Cash flow statement 24\u003c\/p\u003e \u003cp\u003e1.2.4 Statement of changes in equity 37\u003c\/p\u003e \u003cp\u003e1.2.5 Notes 38\u003c\/p\u003e \u003cp\u003e\u003cb\u003e2 Key Ratios for Return and Profitability 41\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e2.1 Return on equity 42\u003c\/p\u003e \u003cp\u003e2.2 Net profit margin 45\u003c\/p\u003e \u003cp\u003e2.3 EBIT\/EBITDA margin 48\u003c\/p\u003e \u003cp\u003e2.4 Asset turnover 50\u003c\/p\u003e \u003cp\u003e2.5 Return on assets 52\u003c\/p\u003e \u003cp\u003e2.6 Return on capital employed 54\u003c\/p\u003e \u003cp\u003e2.7 Operating cash flow margin 56\u003c\/p\u003e \u003cp\u003e\u003cb\u003e3 Ratios for Financial Stability 59\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e3.1 Equity ratio 59\u003c\/p\u003e \u003cp\u003e3.2 Gearing 63\u003c\/p\u003e \u003cp\u003e3.3 Dynamic gearing ratio 66\u003c\/p\u003e \u003cp\u003e3.4 Net debt\/EBITDA 70\u003c\/p\u003e \u003cp\u003e3.5 Capex ratio 72\u003c\/p\u003e \u003cp\u003e3.6 Asset depreciation ratio 75\u003c\/p\u003e \u003cp\u003e3.7 Productive asset investment ratio 78\u003c\/p\u003e \u003cp\u003e3.8 Cash burn rate 79\u003c\/p\u003e \u003cp\u003e3.9 Current and non-current assets to total assets ratio 80\u003c\/p\u003e \u003cp\u003e3.10 Equity to fixed assets ratio and equity and long-term liabilities to fixed assets ratio 82\u003c\/p\u003e \u003cp\u003e3.11 Goodwill ratio 84\u003c\/p\u003e \u003cp\u003e\u003cb\u003e4 Ratios for Working Capital Management 85\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e4.1 Days sales outstanding and days payables outstanding 86\u003c\/p\u003e \u003cp\u003e4.2 Cash ratio 89\u003c\/p\u003e \u003cp\u003e4.3 Quick ratio 90\u003c\/p\u003e \u003cp\u003e4.4 Current ratio\/working capital ratio 91\u003c\/p\u003e \u003cp\u003e4.5 Inventory intensity 94\u003c\/p\u003e \u003cp\u003e4.6 Inventory turnover 95\u003c\/p\u003e \u003cp\u003e4.7 Cash conversion cycle 96\u003c\/p\u003e \u003cp\u003e4.8 Ratios for order backlog and order intake 98\u003c\/p\u003e \u003cp\u003e\u003cb\u003e5 Business Model Analysis 101\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e5.1 Circle of competence 102\u003c\/p\u003e \u003cp\u003e5.2 Characteristics 103\u003c\/p\u003e \u003cp\u003e5.3 Framework conditions 105\u003c\/p\u003e \u003cp\u003e5.4 Information procurement 106\u003c\/p\u003e \u003cp\u003e5.5 Industry and business analysis 107\u003c\/p\u003e \u003cp\u003e5.6 SWOT analysis 108\u003c\/p\u003e \u003cp\u003e5.7 Boston Consulting Group (BCG) analysis 109\u003c\/p\u003e \u003cp\u003e5.8 Competitive strategy 115\u003c\/p\u003e \u003cp\u003e5.9 Management 116\u003c\/p\u003e \u003cp\u003e\u003cb\u003e6 Profit Distribution Policy 117\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e6.1 Dividend 117\u003c\/p\u003e \u003cp\u003e6.2 Share buyback 119\u003c\/p\u003e \u003cp\u003e6.3 Conclusion 123\u003c\/p\u003e \u003cp\u003e\u003cb\u003e7 Valuation Ratios 125\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e7.1 Price-to-earnings ratio 126\u003c\/p\u003e \u003cp\u003e7.2 Price-to-book ratio 131\u003c\/p\u003e \u003cp\u003e7.3 Price-to-cash flow ratio 137\u003c\/p\u003e \u003cp\u003e7.4 Price-to-sales ratio 140\u003c\/p\u003e \u003cp\u003e7.5 Enterprise value approach 143\u003c\/p\u003e \u003cp\u003e7.6 EV\/EBITDA 148\u003c\/p\u003e \u003cp\u003e7.7 EV\/EBIT 151\u003c\/p\u003e \u003cp\u003e7.8 EV\/FCF 154\u003c\/p\u003e \u003cp\u003e7.9 EV\/sales 156\u003c\/p\u003e \u003cp\u003e\u003cb\u003e8 Company Valuation 159\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e8.1 Discounted cash flow model 161\u003c\/p\u003e \u003cp\u003e8.1.1 Equity approach 162\u003c\/p\u003e \u003cp\u003e8.1.2 Entity approach 170\u003c\/p\u003e \u003cp\u003e8.1.3 Adjusted-present-value (APV) approach 174\u003c\/p\u003e \u003cp\u003e8.1.4 Operating and financial leverage 177\u003c\/p\u003e \u003cp\u003e8.1.5 Alternative use of DCF models 180\u003c\/p\u003e \u003cp\u003e8.1.6 DCF case studies 181\u003c\/p\u003e \u003cp\u003e8.2 Valuation using multiples 188\u003c\/p\u003e \u003cp\u003e8.2.1 Fair price-to-earnings ratio 190\u003c\/p\u003e \u003cp\u003e8.2.2 Fair price-to-book ratio 200\u003c\/p\u003e \u003cp\u003e8.2.3 Fair price-to-sales ratio 213\u003c\/p\u003e \u003cp\u003e8.2.4 Fair enterprise value-to-EBIT ratio 216\u003c\/p\u003e \u003cp\u003e8.2.5 Fair EV\/sales 218\u003c\/p\u003e \u003cp\u003e8.2.6 Multiple valuation: mathematical background 222\u003c\/p\u003e \u003cp\u003e8.2.7 Liquidation approach\/net-asset-value approach 223\u003c\/p\u003e \u003cp\u003e8.3 Financial statement adjustments 225\u003c\/p\u003e \u003cp\u003e8.3.1 Pro-forma statements and one-off effects 227\u003c\/p\u003e \u003cp\u003e8.4 Overview of the valuation methods 228\u003c\/p\u003e \u003cp\u003e\u003cb\u003e9 Value Investing 231\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e9.1 Margin of safety approach 233\u003c\/p\u003e \u003cp\u003e9.2 Value investing strategies 233\u003c\/p\u003e \u003cp\u003e9.2.1 Quality investments 233\u003c\/p\u003e \u003cp\u003e9.2.2 Cigarbutt investments 234\u003c\/p\u003e \u003cp\u003e9.2.3 Net-nets\/arbitrage 234\u003c\/p\u003e \u003cp\u003e9.3 The identification of investment opportunities 235\u003c\/p\u003e \u003cp\u003e9.4 Portfolio management 237\u003c\/p\u003e \u003cp\u003e9.4.1 Diversification 237\u003c\/p\u003e \u003cp\u003e9.4.2 Risk 238\u003c\/p\u003e \u003cp\u003e9.4.3 Cash 239\u003c\/p\u003e \u003cp\u003e9.5 Buying and selling: investment horizon 239\u003c\/p\u003e \u003cp\u003e9.5.1 Buying 237\u003c\/p\u003e \u003cp\u003e9.5.2 Selling 238\u003c\/p\u003e \u003cp\u003e9.6 Conclusion 241\u003c\/p\u003e \u003cp\u003eTable and Figure Credits 243\u003c\/p\u003e \u003cp\u003eIndex 245 \u003c\/p\u003e","brand":"John Wiley \u0026 Sons Inc","offers":[{"title":"Default Title","offer_id":49406933303639,"sku":"9781118843093","price":39.9,"currency_code":"GBP","in_stock":false}],"url":"https:\/\/bookcurl.com\/products\/the-art-of-company-valuation-and-financial-statement-analysis-9781118843093","provider":"Book Curl","version":"1.0","type":"link"}