company valuation

Firm's monetary worth

Company valuation is the process of determining what a business is worth, or the resulting figure itself.

Analysts use various methods—comparing to similar companies, projecting future earnings, or tallying assets—to arrive at a number.

The valuation matters for selling a business, attracting investors, or issuing stock: The startup's valuation reached two billion dollars after the funding round.

Related

shareholders · auditors · balance · venture capitalists · Series A · term sheet · exit strategy · regulators · working capital · financial analysts · due diligence · price to earnings · contract · profit margin · burn rate · corporate executives · inflation rates · market sentiment

Opposites
financial metric type

company valuationcash flow

Money entering and exiting

free cash flow · revenue · profit · net income · EBITDA

certainty and objectivity

company valuationhistorical performance

Art recreating past styles

tangible assets · book value

asset vs. liability focus

company valuationdebt load

Total amount owed

outstanding debt · insolvency · bankruptcy · negative equity · debt burden

Family

company, valuation, companies, companion, companionship, accompany, accompanying, accompanied, accompaniment

Familiarity
Top 500,000
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Used worldwide · Timeless · Abstract · Rated G