Journal articles: 'E valuation de la performance'

1

Tizniti, Douaa, and Mohammed Rachid Aasri. "Do Discounts Enhance or Degrade IPOs Valuation Performance?" Financial Markets, Institutions and Risks 5, no. 2 (2021): 34–41. http://dx.doi.org/10.21272/fmir.5(2).34-41.2021.

Full text

Abstract:

In the present study, we investigate the impact of discounts on the valuation performance of initial public offerings. Review of existing literature reveals that such valuation performance lacks examination in terms of discounts as most studies focus on valuation methods. Accordingly, we examine the valuation performance of initial public offerings before and after applying discounts. Whereby, underwriters apply a deliberate discount to fair value estimate before setting the final offer price. We assess the valuation performance of initial public offerings through bias and accuracy errors as well as explainability. When valuation errors are low, the valuation performance is deemed superior. Our sample consists of 39 initial public offerings conducted on the Moroccan stock exchange between 2004 and 2018. We use publicly available prospectus to collect necessary data. Our results reveal that discounts applied to fair value estimate when setting the final offer price reduce valuation errors. Consequently, discounts enhance the valuation performance of initial public offerings. In fact, both optimistic and pessimistic final offer price are closer to market price in comparison with optimistic and pessimistic fair value estimate. We conclude that if valuations conducted by underwriters are objective, discounts serve as a qualitative valuation to supplement the quantitative one. This qualitative valuation incorporates relevant information about market circumstances with regard to initial public offerings. This indicates the superior fundamental analysis underwriters are capable of performing. However, if valuations conducted by underwriters are subjective, then underwriters deliberately overestimates fair value estimate to justify applying discounts when setting the final offer price. Nonetheless, our study reveals that discounts are more than proportional to valuation optimism. Consequently, while discounts absorb this valuation optimism, they also set a valuation pessimism. In other words, discounts avoid overpricing initial public offerings, yet they result in underpricing them. Interestingly, we discover that although optimistic fair value estimate and pessimistic final offer price have approximate valuation errors, underwriters are more comfortable underpricing initial public offerings than overpricing them.

APA, Harvard, Vancouver, ISO, and other styles

2

Ivanovski, Zoran, Zoran Narasanov, and Nadica Ivanovska. "Performance Evaluation of Stocks’ Valuation Models at MSE." Economic and Regional Studies / Studia Ekonomiczne i Regionalne 11, no. 2 (June 1, 2018): 7–23. http://dx.doi.org/10.2478/ers-2018-0011.

Full text

Abstract:

Abstract Subject and purpose of work: The main task of this paper is to examine the proximity of valuations generated by different valuation models to stock prices in order to investigate their reliability at Macedonian Stock Exchange (MSE) and to present alternative “scenario” methodology for discounted free cash flow to firm valuation. Materials and methods: By using publicly available data from MSE we are calculating stock prices with three stock valuation models: Discounted Free Cash Flow, Dividend Discount and Relative Valuation. Results: The evaluation of performance of three stock valuation models at the MSE identified that model of Price Multiplies (P/E and other profitability ratios) offer reliable stock values determination and lower level of price errors compared with the average stocks market prices. Conclusions: The Discounted Free Cash Flow (DCF) model provides values close to average market prices, while Dividend Discount (DDM) valuation model generally mispriced stocks at MSE. We suggest the use of DCF model combined with relative valuation models for accurate stocks’ values calculation at MSE.

APA, Harvard, Vancouver, ISO, and other styles

3

Nel, Soon, and Niël le Roux. "The valuation performance of mathematically-optimised, equity-based composite multiples." Journal of Economics, Finance and Administrative Science 22, no. 43 (November 6, 2017): 224–50. http://dx.doi.org/10.1108/jefas-02-2017-0042.

Full text

Abstract:

Purpose This paper aims to examine the valuation precision of composite models in each of six key industries in South Africa. The objective is to ascertain whether equity-based composite multiples models produce more accurate equity valuations than optimal equity-based, single-factor multiples models. Design/methodology/approach This study applied principal component regression and various mathematical optimisation methods to test the valuation precision of equity-based composite multiples models vis-à-vis equity-based, single-factor multiples models. Findings The findings confirmed that equity-based composite multiples models consistently produced valuations that were substantially more accurate than those of single-factor multiples models for the period between 2001 and 2010. The research results indicated that composite models produced up to 67 per cent more accurate valuations than single-factor multiples models for the period between 2001 and 2010, which represents a substantial gain in valuation precision. Research implications The evidence, therefore, suggests that equity-based composite modelling may offer substantial gains in valuation precision over single-factor multiples modelling. Practical implications In light of the fact that analysts’ reports typically contain various different multiples, it seems prudent to consider the inclusion of composite models as a more accurate alternative. Originality/value This study adds to the existing body of knowledge on the multiples-based approach to equity valuations by presenting composite modelling as a more accurate alternative to the conventional single-factor, multiples-based modelling approach.

APA, Harvard, Vancouver, ISO, and other styles

4

Gutacker, Nils, Thomas Patton, Koonal Shah, and David Parkin. "Using EQ-5D Data to Measure Hospital Performance: Are General Population Values Distorting Patients’ Choices?" Medical Decision Making 40, no. 4 (May 2020): 511–21. http://dx.doi.org/10.1177/0272989x20927705.

Full text

Abstract:

Background. The English National Health Service publishes hospital performance indicators based on average postoperative EQ-5D index scores after hip replacement surgery to inform prospective patients’ choices of hospital. Unidimensional index scores are derived from multidimensional health-related quality-of-life data using preference weights estimated from a sample of the UK general population. This raises normative concerns if general population preferences differ from those of the patients who are to be informed. This study explores how the source of valuation affects hospital performance estimates. Methods. Four different value sets reflecting source of valuation (general population v. patients), valuation technique (visual analog scale [VAS] v. time tradeoff [TTO]), and experience with health states (currently experienced vs. experimentally estimated) were used to derive and compare performance estimates for 243 hospitals. Two value sets were newly estimated from EQ-5D-3L data on 122,921 hip replacement patients and 3381 members of the UK general public. Changes in hospital ranking (nationally) and performance outlier status (nationally; among patients’ 5 closest hospitals) were compared across valuations. Results. National rankings were stable under different valuations (rank correlations >0.92). Twenty-three (9.5%) hospitals changed outlier status when using patient VAS valuations instead of general population TTO valuations, the current approach. Outlier status also changed substantially at the local level. This was explained mostly by the valuation technique, not the source of valuations or experience with the health states. Limitations. No patient TTO valuations were available. The effect of value set characteristics could be established only through indirect comparisons. Conclusion. Different value sets may lead to prospective patients choosing different hospitals. Normative concerns about the use of general population valuations are not supported by empirical evidence based on VAS valuations.

APA, Harvard, Vancouver, ISO, and other styles

5

Nel, WS, and NJ le Roux . "Precision, Consistency and Bias in Emerging Equity Markets." Journal of Economics and Behavioral Studies 6, no. 5 (May 30, 2014): 386–99. http://dx.doi.org/10.22610/jebs.v6i5.501.

Full text

Abstract:

The use of multiples is a popular approach employed by analysts to perform valuations. These multiples are based on optimal value drivers, the valuation performance of which should be underpinned by empirical findings from carefully designed, unbiased research initiatives. This paper firstly investigates the risk of biasing the design of market-based studies which aim to test the valuation performance of individual value drivers. The evidence revealed that, when testing the valuation performance of value drivers, there is an inherent risk of biasing the design of a study of this kind, and therefore, its outcome. Secondly, the paper presents evidence in support of the consistency of previous research findings regarding the valuation performance of individual value drivers in the South African market over the period 2001-2010. To this end, the paper introduces a new approach for the analysis of multidimensional equity valuation research data in the form of principal component analysis (PCA)-based biplots. Thirdly, the paper provides evidence that multiples-based modeling seems to be biased to the downside, which is an important consideration for analysts who choose to adjust their valuations outside of these models.

APA, Harvard, Vancouver, ISO, and other styles

6

Cici, Gjergji, Alexander Kempf, and Alexander Puetz. "The Valuation of Hedge Funds’ Equity Positions." Journal of Financial and Quantitative Analysis 51, no. 3 (June 2016): 1013–37. http://dx.doi.org/10.1017/s0022109016000351.

Full text

Abstract:

AbstractWe provide evidence on the valuation of equity positions by hedge funds. Reported valuations deviate from standard valuations based on closing prices from the Center for Research in Security Prices for roughly 7% of the positions. These equity valuation deviations are positively related to illiquidity and price volatility of the underlying stocks. They respond to past performance and intensify after an advisor starts reporting to a commercial database. Furthermore, advisors with more valuation deviations show a stronger discontinuity in their reported returns around 0, manage a higher fraction of potentially fraudulent funds, report smoother returns, and exhibit an upward spike in their December reported returns.

APA, Harvard, Vancouver, ISO, and other styles

7

Nel, WS. "An Optimal Peer Group Selection Strategy for Multiples-Based Modelling in the South African Equity Market." Journal of Economics and Behavioral Studies 7, no. 3(J) (June 30, 2015): 30–46. http://dx.doi.org/10.22610/jebs.v7i3(j).580.

Full text

Abstract:

Although peer group selection is a key consideration when performing multiples-based valuations, there is a lack of theoretical guidance on an optimal peer group selection strategy in emerging markets. Principal Component Analysis-based biplots and correlation monoplots are used to assess the valuation performance of multiples whose peer groups are based on either industry classification or valuation fundamentals. The evidence suggests that multiples whose peer groups are based on valuation fundamentals outperform multiples whose peer groups are based on industry classifications, with a combination of valuation fundamentals Rg and RoE emerging as the optimal peer group variable. The evidence suggests that an optimal choice of peer group variable could secure an increase in valuation precision of as much as 41.77%.

APA, Harvard, Vancouver, ISO, and other styles

8

Ting, Irene Wei Kiong, Noor Azlinna Azizan, Rajesh Kumar Bhaskaran, and Sujit K. Sukumaran. "Corporate Social Performance and Firm Performance: Comparative Study among Developed and Emerging Market Firms." Sustainability 12, no. 1 (December 18, 2019): 26. http://dx.doi.org/10.3390/su12010026.

Full text

Abstract:

This study examines the impact of firms’ environmental, social and governance (ESG) initiatives on financial performance. It also compares the valuation effects of corporate social performance initiatives in developed and emerging market firms. The study was based on ESG ranking scores in the Thomson Reuters database, and the sample comprised 1317 emerging market firms and 3569 developed market firms. In comparison with developed market firms, emerging market firms had higher ESG combined scores, ESG Controversy scores, category scores of resources use, workforce, human rights and corporate social responsibility strategy scores. This study finds that stakeholder initiatives positively impact valuation effects, based on all sample results. Firm-generated controversies may decrease valuation effects in the stock market. Results indicated that ESG initiatives have a significant positive to the firm performance. The presence of independent board members and ownership by investors is a positive determinant for value creation. The adoption of best practice corporate governance principles is an important determinant of the valuation of firms. Firms’ propensity to use defence mechanisms decreases valuation effects. Developed market firms received positive valuation effects due to ESG initiatives.

APA, Harvard, Vancouver, ISO, and other styles

9

Gerstner, Thomas, and Markus Holtz. "Valuation of Performance‐Dependent Options." Applied Mathematical Finance 15, no. 1 (February 2008): 1–20. http://dx.doi.org/10.1080/13504860601170492.

Full text

APA, Harvard, Vancouver, ISO, and other styles

10

Moss, Charles B., and Ani L. Katchova. "Farmland valuation and asset performance." Agricultural Finance Review 65, no. 2 (November 2005): 119–30. http://dx.doi.org/10.1108/00214660580001168.

Full text

APA, Harvard, Vancouver, ISO, and other styles

11

Crosby, Neil, John Murdoch, and Anthony Lavers. "Expert valuation witnesses in the UK – problems and solutions." Journal of Property Investment & Finance 20, no. 4 (August 1, 2002): 316–53. http://dx.doi.org/10.1108/14635780210435038.

Full text

Abstract:

This paper addresses the performance, training and organisation of expert valuation witnesses in the UK. Previous research, based on analysis of professional negligence cases in the UK courts, had found that expert valuation witnesses do not always perform rationally, for example informing courts that valuations can be undertaken within acceptable tolerances of valuation accuracy, while giving expert evidence that differed by more than these tolerances. There was evidence that, while well aware of their overriding duty to the court or tribunal, expert witnesses were frequently producing client‐biased valuations. Such findings provoked questions as to whether standards would be improved by two recently proposed alterations to current practice: either the introduction of a system of compulsory training and accreditation for such witnesses, or a change from the process by which expert valuation evidence is normally presented (one expert witness for each party to a dispute) to the use of a single expert, appointed either by the parties jointly or by the court. A case analysis is performed and conclusions discussed.

APA, Harvard, Vancouver, ISO, and other styles

12

Aluko, Bioye Tajudeen. "RELIABILITY OF MORTGAGE VALUATION FOR INSTITUTIONAL LENDING IN NIGERIA." International Journal of Strategic Property Management 8, no. 4 (December 31, 2004): 193–203. http://dx.doi.org/10.3846/1648715x.2004.9637517.

Full text

Abstract:

The growing number of distressed banks in Nigeria and the recognition of mortgage valuation as a measure of investment performance of collaterals to mitigate the risks of loan underwriting process necessitates this study. It examined whether open market valuations of mortgage properties were a good proxies for their sale prices. Pooled data, involving 121 open market sales during the period 1994 to 2002, on property transactions in the study area with their corresponding contemporaneous valuations were gathered from the estate surveying and valuation firms, the lending institutions and the Nigerian Deposit Insurance Corporation. The data emanating therefrom were analysed with the aid of multiple regression models. The study revealed, amongst other things, that open market valuation for mortgage is a good proxy for their transaction price in the study area; although, the accuracy is not as good as what obtains in U.K, U.S.A. and Australia.

APA, Harvard, Vancouver, ISO, and other styles

13

Guo, Re-Jin, Baruch Lev, and Nan Zhou. "The Valuation of Biotech IPOs." Journal of Accounting, Auditing & Finance 20, no. 4 (October 2005): 423–59. http://dx.doi.org/10.1177/0148558x0502000407.

Full text

Abstract:

The valuation of initial public offerings (IPOs) is of considerable interest, given the important role these enterprises play in economic growth and investors' decisions. IPO valuation is particularly challenging due to the meager information available about new enterprises at offering dates. We extend the research on IPO valuation in various directions. First, we penetrate deep beyond the traditional proxies for value drivers, such as R&D expenditures and cash flows, by defining and testing a host of specific product-related and competitive environment value drivers; second, we examine IPO valuations at three distinct phases of the going-public process; third, we employ both the direct valuation and relative valuation approaches; and fourth, we round up the analysis by examining the long-term performance of IPOs. Based on a sample of biotech IPOs from the 1990s, we document the overwhelming importance of product-related and intellectual property fundamentals, as well as the irrelevance of several key signals, such as venture capital backing and the quality of underwriters, which played prominent roles in previous research.

APA, Harvard, Vancouver, ISO, and other styles

14

Ausloos, Marcel. "Valuation Models Applied to Value-Based Management—Application to the Case of UK Companies with Problems." Forecasting 2, no. 4 (December 11, 2020): 549–65. http://dx.doi.org/10.3390/forecast2040029.

Full text

Abstract:

Many still rightly wonder whether accounting numbers affect business value. Basic questions are “why?” and “how?” We aim at promoting an objective choice on how optimizing the most suitable valuation methods under a “value-based management” framework through some performance measurement systems. First, we present a comprehensive review of valuation methods. Three valuations methods, (i) Free Cash Flow Valuation Model (FCFVM), (ii) Residual Earning Valuation Model (REVM) and (iii) Abnormal Earning Growth Model (AEGM), are presented. We point out advantages and limitations. As applications, the proofs of our findings are illustrated on three study cases: Marks & Spencer’s (M&S’s) business pattern (size and growth prospect), which had a recently advertised valuation “problem”, and two comparable companies, Tesco and Sainsbury’s, all three chosen for multiple-based valuation. For the purpose, two value drivers are chosen, EnV/EBIT (entity value/earnings before interests and taxes) and the corresponding EnV/Sales. Thus, the question whether accounting numbers through models based on mathematical economics truly affect business value has an answer: “Maybe, yes”.

APA, Harvard, Vancouver, ISO, and other styles

15

Basu, Nilanjan, and Orlin Dimitrov. "Sarbanes‐Oxley, governance, performance, and valuation." Journal of Financial Regulation and Compliance 18, no. 1 (February 23, 2010): 32–45. http://dx.doi.org/10.1108/13581981011019615.

Full text

APA, Harvard, Vancouver, ISO, and other styles

16

Chi, Jianxin Daniel, and Xunhua Su. "The Dynamics of Performance Volatility and Firm Valuation." Journal of Financial and Quantitative Analysis 52, no. 1 (February 2017): 111–42. http://dx.doi.org/10.1017/s0022109016000788.

Full text

Abstract:

We construct a model to illustrate the dynamics of cash-flow volatility (CFV) and firm valuation. As a firm progressively invests in its growth opportunities, its book value increases and catches up with its market value, reducing the valuation multiple (Q). CFV decreases because of the diversification effect of investing in more market segments. We document a positive CFV–Q association, which varies with firm size, investment opportunities, and the correlation across market segments. Empirical findings strongly support the model’s predictions and are robust to alternative explanations offered by extant studies on firm growth, volatility, and valuation.

APA, Harvard, Vancouver, ISO, and other styles

17

Hull, Robert, and Shane Van Dalsem. "Nonprofits and Pass-Throughs: Performance Comparison." International Journal of Financial Studies 9, no. 1 (February 27, 2021): 13. http://dx.doi.org/10.3390/ijfs9010013.

Full text

Abstract:

This paper’s purpose is to compare nonprofits with pass-throughs in terms of valuation, leverage, and growth. To achieve this purpose, we use the Capital Structure Model. This model determines maximum firm valuation through incorporating real data (tax rates, credit spreads, and historical growth rates). Since this is the first study to offer our particular set results on valuation, leverage and growth, our findings are value-additive in terms of the comparative research on nonprofits and pass-throughs. The new and scientific value of our findings are further established by robust tests that modify values for key variables. Major findings include the following. Nonprofits have over a fifty percent valuation advantage over pass-throughs and achieve a four times greater increase in dollar value when going from nongrowth to growth. The latter accomplishments are attained with a smaller before-tax plowback ratio and less retained earnings. Such achievements occur because nonprofits are not taxed on earnings retained for growth. While nonprofits have somewhat greater optimal leverage ratios than pass-throughs, they gain a bit less in dollars added from debt unless growth rates increase as projected when tax rates are lowered. Nonprofits gain less percentage-wise from debt because their unlevered firm value is greater than pass-throughs.

APA, Harvard, Vancouver, ISO, and other styles

18

Ishikawa, Mitsuo, Kohji Jinguhji, Toshiyuki Egawa, Yukitoshi Ohta, Tadayuki Uemae, and Yasuhiro Yamada. "36. Performance valuation of "X-ray Analizer"." Japanese Journal of Radiological Technology 47, no. 8 (1991): 1071. http://dx.doi.org/10.6009/jjrt.kj00003323780.

Full text

APA, Harvard, Vancouver, ISO, and other styles

19

Holden, Craig W., and Daniel S. Kim. "Performance share plans: Valuation and empirical tests." Journal of Corporate Finance 44 (June 2017): 99–125. http://dx.doi.org/10.1016/j.jcorpfin.2017.03.004.

Full text

APA, Harvard, Vancouver, ISO, and other styles

20

Majewski, Sebastian. "Sport Results and Footballer’s Performance Rights’ Valuation." Journal of Business and Economics 6, no. 10 (October 20, 2015): 1695–702. http://dx.doi.org/10.15341/jbe(2155-7950)/10.06.2015/003.

Full text

APA, Harvard, Vancouver, ISO, and other styles

21

Bojanic, Sharon Lee, and Dennis T. Officer. "CORPORATE TAKEOVER BARRIERS: VALUATION AND FIRM PERFORMANCE." Journal of Business Finance & Accounting 21, no. 4 (June 1994): 589–601. http://dx.doi.org/10.1111/j.1468-5957.1994.tb00338.x.

Full text

APA, Harvard, Vancouver, ISO, and other styles

22

Bandi Tanner, Monika, Adrian Künzi, Therese Lehmann Friedli, and Hansruedi Müller. "Event performance index: a holistic valuation tool." International Journal of Event and Festival Management 9, no. 2 (June 4, 2018): 166–82. http://dx.doi.org/10.1108/ijefm-09-2017-0047.

Full text

Abstract:

Purpose The subsidization of events by public authorities at different administrative levels has become increasingly important in recent years. Event portfolios are an important supply component of tourism destinations. The development of a valuation tool with an event performance index (EPI) as the key output should enable public authorities to develop transparent, systematic and fair subsidization practices in the future. The paper aims discuss these issues. Design/methodology/approach Using a theoretical impact model and event evaluation practices, this work develops a new holistic valuation tool for events with key indicators along the dimensions of sustainable development. Basic cost-benefit analysis ideas enrich the approach conceptually. Indicator development was based on a process of elaboration that considered the scientific literature, event stakeholders and municipal representatives. Findings The EPI consists of seven core indicators: size, economic value, touristic value and image, innovative strength, value of networking, value of participation and social exchange and relative ecological burden. The application of this tool to a case study revealed that it generates comprehensive and robust indicators of multifaceted and destination-unspecific event values and supports the process of allocating event subsidies using different remuneration schemes. Straightforward and destination-unspecific indicators assure the transferability and adaptability of the valuation tool to different complex and multifaceted contexts of event subsidization. Originality/value The EPI seeks to reduce complexity and incentivize event organizers to meet future sustainable development goals. Additionally, this work contributes to future discussions of both the form and process of event subsidization.

APA, Harvard, Vancouver, ISO, and other styles

23

DuCharme, Larry L., Paul H. Malatesta, and Stephan E. Sefcik. "Earnings Management: IPO Valuation and Subsequent Performance." Journal of Accounting, Auditing & Finance 16, no. 4 (October 2001): 369–96. http://dx.doi.org/10.1177/0148558x0101600409.

Full text

APA, Harvard, Vancouver, ISO, and other styles

24

Jiao, Yawen. "Corporate Disclosure, Market Valuation, and Firm Performance." Financial Management 40, no. 3 (September 2011): 647–76. http://dx.doi.org/10.1111/j.1755-053x.2011.01156.x.

Full text

APA, Harvard, Vancouver, ISO, and other styles

25

Bonaventura, Matteo, Giancarlo Giudici, and Silvio Vismara. "Valuation and performance of reallocated IPO shares." Journal of International Financial Markets, Institutions and Money 54 (May 2018): 15–26. http://dx.doi.org/10.1016/j.intfin.2017.05.005.

Full text

APA, Harvard, Vancouver, ISO, and other styles

26

Kalotay, Andrew. "Tax-Smart Portfolio Valuation and Performance Measurement." Journal of Portfolio Management 47, no. 8 (May 27, 2021): 50–56. http://dx.doi.org/10.3905/jpm.2021.1.256.

Full text

APA, Harvard, Vancouver, ISO, and other styles

27

Carvalhal da Silva, André Luiz, and Ricardo Pereira Câmara Leal. "Ownership, control, valuation and performance of Brazilian corporations." Corporate Ownership and Control 4, no. 1 (2006): 300–308. http://dx.doi.org/10.22495/cocv4i1c2p6.

Full text

Abstract:

This paper analyzes the ownership and control structure of Brazilian companies and the effect of cash flow and voting rights on firm valuation and performance. Ownership is quite concentrated in Brazil with most companies being controlled by a single direct shareholder. We find evidence that non-voting shares and indirect control structures are largely used to concentrate control with reduced overall investment in the company. Our results support the hypothesis that firm valuation and performance are positively related to cash flow concentration, and negatively related to voting concentration and to the separation of voting from cash flow rights. Moreover, firm valuation and performance are relatively higher for firms with controlling shareholders when compared to firms without controlling shareholders.

APA, Harvard, Vancouver, ISO, and other styles

28

Hutter, Michael. "Three Modes of Valuation Practices in Art Games." Valuation Studies 8, no. 1 (April 29, 2021): 85–119. http://dx.doi.org/10.3384/vs.2001-5992.2021.8.1.85-119.

Full text

Abstract:

Several suggestions on distinguishing between “modes” of valuation practices are found in the literature. In this contribution, valuation practices are moves in a kind of social play that generates its own kind of value. Valuation in the Arts is chosen as an empirical example. Following the model, the Arts are interpreted as a set of games with the same kind of value code, in which artists and producers create performances for engaged and curious spectators. The four kinds of players engage in valuations of objects and other players in their respective games. The broad range of observations in art games demonstrates that valuation is practiced in three modes: attribution, assessment and payment. While practices of attribution and assessment generate and stabilize art-specific value accumulation, paying practices link the attributed and assessed values to the monetary valuation in games of commercial play. The distinctions of valuation practices employed by three recent authors are set into relation to the suggested modes.

APA, Harvard, Vancouver, ISO, and other styles

29

Nel, W. S., B. W. Bruwer, and N. J. le Roux. "The valuation performance of equity-based multiples in South African context." Risk Governance and Control: Financial Markets and Institutions 3, no. 3 (2013): 35–47. http://dx.doi.org/10.22495/rgcv3i3art4.

Full text

Abstract:

Despite the popularity of multiples among analysts in practice, the emerging market literature offers little empirical guidance for the use thereof. This paper investigates the relative valuation performance of various value drivers when valuing the equity of South African companies listed on the JSE Securities Exchange for the period 2001-2010. The empirical results revealed, among other findings, that earnings-based value drivers offered the highest degree of valuation accuracy, while cash flowand sales-based value drivers offered the lowest degree of valuation accuracy. Dividend- and assetbased value drivers offered average results. An interesting phenomenon was that, contrary to popular belief, cash flow-based value drivers only offered marginal improvements in valuation accuracy viz-à-viz sales-based value drivers; and not consistently so.

APA, Harvard, Vancouver, ISO, and other styles

30

Zeng, Bei, Andreas Johannesen, and Xin Fang. "How to value a real estate company? Alexander & Baldwin, Inc. (ALEX)." CASE Journal 16, no. 2 (April 11, 2020): 155–83. http://dx.doi.org/10.1108/tcj-04-2019-0043.

Full text

Abstract:

Purpose This study aims to provide students an opportunity to analyze the financial performance of a publicly listed real estate company and estimate its instinct value by applying appropriate financial models and approaches. Theoretical basis Three major valuation models/approaches generated by financial theory and practice to estimate the intrinsic value of a security: discounting cash-flows valuation (DCF and NPV) – valuation through adjusted net asset and liquidation value (NAV) – relative valuation through price and value multiples (valuation multiple analysis and precedent transactions analysis). Wholly owned subsidiaries versus and joint venture ones. Research methodology Analyze financial information of all segments in a multiple-business firm, and apply suitable financial models and approaches among net asset value model (NAV), discounted cash flow (DCF) or net present value (NPV) model, valuation multiple analysis and precedent transactions analysis to estimate the intrinsic value of the whole firm. Case overview/synopsis This decision-based case allows students to explore the business valuation process for a public listed real estate company, Alexander & Baldwin, Inc. (NYSE: ALEX). Based on financial statements analysis and forward-looking financial expectation on ALEX, this case elevates students' understanding and practice of valuating this multiple-business firms by applying appropriate financial models and approaches among NAV, DCF or NPV, valuation multiple analysis and precedent transactions analysis and enable students to make their investment decisions of buying, holding or selling the company’s stocks. Complexity academic level This case is most appropriate for graduate courses such as corporate finance, investments, personal finance, real estate finance and financial markets and institutes.

APA, Harvard, Vancouver, ISO, and other styles

31

Haque, Faizul, and Thankom G. Arun. "Corporate governance and financial performance: an emerging economy perspective." Investment Management and Financial Innovations 13, no. 3 (September 23, 2016): 228–36. http://dx.doi.org/10.21511/imfi.13(3-1).2016.09.

Full text

Abstract:

This paper investigates the influence of firm-level corporate governance on financial performance of the listed firms in Bangladesh. Agency theory suggests that better corporate governance reduces expropriation costs, which, in turn, enhances investors’ confidence in the firm’s future cash flow and growth prospects, leading to higher firm valuation. Likewise, a decrease in private benefits is likely to cause an improved operating performance. This paper uses a questionnaire survey-based corporate governance index (CGI), comprising of the three dimensions – shareholder rights, independence and responsibilities of the board and management, and financial reporting and disclosures. The study results partly confirm the prediction of the agency theory, with a statistically significant positive relationship between a firm’s corporate governance quality and its valuation, even though the relationship between firm level corporate governance and operating performance seems inconclusive. Keywords: corporate governance index, agency theory, financial performance, Bangladesh. JEL Classification: G32, G34, G38, O16

APA, Harvard, Vancouver, ISO, and other styles

32

Gerstgrasser, Matthias, Paul W. Goldberg, Bart De Keijzer, Philip Lazos, and Alexander Skopalik. "Multi-Unit Bilateral Trade." Proceedings of the AAAI Conference on Artificial Intelligence 33 (July 17, 2019): 1973–80. http://dx.doi.org/10.1609/aaai.v33i01.33011973.

Full text

Abstract:

We characterise the set of dominant strategy incentive compatible (DSIC), strongly budget balanced (SBB), and ex-post individually rational (IR) mechanisms for the multi-unit bilateral trade setting. In such a setting there is a single buyer and a single seller who holds a finite number k of identical items. The mechanism has to decide how many units of the item are transferred from the seller to the buyer and how much money is transferred from the buyer to the seller. We consider two classes of valuation functions for the buyer and seller: Valuations that are increasing in the number of units in possession, and the more specific class of valuations that are increasing and submodular.Furthermore, we present some approximation results about the performance of certain such mechanisms, in terms of social welfare: For increasing submodular valuation functions, we show the existence of a deterministic 2-approximation mechanism and a randomised e/(1 − e) approximation mechanism, matching the best known bounds for the single-item setting.

APA, Harvard, Vancouver, ISO, and other styles

33

Naughton, James P., Clare Wang, and Ira Yeung. "Investor Sentiment for Corporate Social Performance." Accounting Review 94, no. 4 (October 1, 2018): 401–20. http://dx.doi.org/10.2308/accr-52303.

Full text

Abstract:

ABSTRACT We document time-varying investor sentiment for corporate social responsibility (CSR) performance. We show that announcements of CSR activities generate positive abnormal returns during periods when investors place a valuation premium on CSR performance. In addition, we find that firms boost CSR performance in response to investor sentiment, and that this response is more pronounced for those firms that are more inclined to respond to investor sentiment due to valuation uncertainty and investor horizon. Our results suggest that investor sentiment plays a role in firms' commitment to CSR. JEL Classifications: M41; D82; G14; G30; G31; G32; G34. Data Availability: Data are available from the public sources cited in the text.

APA, Harvard, Vancouver, ISO, and other styles

34

Nel, WS, BW Bruwer, and NJ Le Roux. "Equity- And Entity-Based Multiples In Emerging Markets: Evidence From The JSE Securities Exchange." Journal of Applied Business Research (JABR) 29, no. 3 (April 23, 2013): 829. http://dx.doi.org/10.19030/jabr.v29i3.7784.

Full text

Abstract:

Analysts typically distinguish between equity- and entity-based approaches when employing the free cash flow model to perform equity valuations. However, when multiples are used to perform equity valuations, analysts often neglect to distinguish between equity- and entity-based approaches. In addition, limited empirical evidence exists on the relative valuation performance of equity- and entity-based multiples in developed capital markets and the emerging markets literature is entirely silent in this regard. In this paper the valuation accuracy of equity-based multiples is compared to that of entity-based multiples in valuing the equity of South African companies listed on the JSE Securities Exchange for the period 2001-2010. The research results reveal that equity-based multiples significantly outperform entity-based multiples, indicating a potential increase in valuation accuracy of as much as 15.37%.

APA, Harvard, Vancouver, ISO, and other styles

35

Bams, Dennis, Gildas Blanchard, and Thorsten Lehnert. "Model Uncertainty and Pricing Performance in Option Valuation." Journal of Derivatives 27, no. 2 (October 3, 2019): 31–49. http://dx.doi.org/10.3905/jod.2019.1.086.

Full text

APA, Harvard, Vancouver, ISO, and other styles

36

Saikia, Hemanta, Dibyojyoti Bhattacharjee, and Atanu Bhattacharjee. "Performance based market valuation of cricketers in IPL." Sport, Business and Management: An International Journal 3, no. 2 (May 10, 2013): 127–46. http://dx.doi.org/10.1108/20426781311325069.

Full text

APA, Harvard, Vancouver, ISO, and other styles

37

Jessen, Cathrine, and Rolf Poulsen. "Empirical performance of models for barrier option valuation." Quantitative Finance 13, no. 1 (January 2013): 1–11. http://dx.doi.org/10.1080/14697688.2012.723820.

Full text

APA, Harvard, Vancouver, ISO, and other styles

38

Yurievna, Tatyana, Yana Anatolyevna, and Snezana Zivkovic. "Marketing activity performance: Valuation problem and its resolution." Ekonomika 63, no. 3 (2017): 13–24. http://dx.doi.org/10.5937/ekonomika1703013y.

Full text

APA, Harvard, Vancouver, ISO, and other styles

39

Soffer, Leonard C. "Discussion: “Earnings Management: IPO Valuation and Subsequent Performance”." Journal of Accounting, Auditing & Finance 16, no. 4 (October 2001): 397–400. http://dx.doi.org/10.1177/0148558x0101600410.

Full text

APA, Harvard, Vancouver, ISO, and other styles

40

Crosby, Neil, Diana Kincaid, and John Murdoch. "The Performance of Expert Valuation Witnesses in Australia." Pacific Rim Property Research Journal 7, no. 2 (January 2001): 89–103. http://dx.doi.org/10.1080/14445921.2001.11104097.

Full text

APA, Harvard, Vancouver, ISO, and other styles

41

Anderson, Anne, Parveen P. Gupta, and Andrey Zagorchev. "Does a country’s financial and legal systems contemporaneously impact the governance and performance relationship: Further evidence?" Corporate Ownership and Control 9, no. 4-3 (2012): 279–308. http://dx.doi.org/10.22495/cocv9i4c3art2.

Full text

Abstract:

We investigate the impact of continuous measures of the financial system and investor protection on the corporate governance-performance relationship. We find that shareholder suits rights/stock market capitalization (disclosure rights/stock market capitalization) has monotonic (non-monotonic) relation with firm performance and that high-levels of stock market capitalization and investor protection generate valuation synergies. Besides interactions of financial and legal systems with corporate governance, market- (bank-) orientation and development and stronger (weaker) investor protection along with better (worse) corporate governance are associated with higher (lower) valuations. A country’s migration to a developed stock market with enhanced investor protection is related to better corporate governance and firm performance.

APA, Harvard, Vancouver, ISO, and other styles

42

Ionescu, Luiza, Maria Toma, and Mathurin Founanou. "Applied Analysis of the Impact of Inventory Valuation Methods on the Financial Situation and Financial Performance." Valahian Journal of Economic Studies 9, no. 1 (April 1, 2018): 67–76. http://dx.doi.org/10.2478/vjes-2018-0007.

Full text

Abstract:

Abstract At the level of any entity (company), inventory represents an important category of current assets, and implicitly, of total assets. Starting from the importance of this category of assets for the normal development of the production or sales activity, this paper has as priority objectives the following: delimitation of the theoretical aspects regarding the inventory valuation of the sold goods; determining the impact that inventory valuation methods may have on the financial position and financial performance of the company; applied analysis of inventory valuation options. The results obtained from both theoretical and practical research verify the main assumption that the inventory valuation options have a different impact on financial situation and the financial performance of an entity.

APA, Harvard, Vancouver, ISO, and other styles

43

Rahman, Farhan, Ian Rowlands, and Olaf Weber. "Do green buildings capture higher market valuations and lower vacancy rates? A Canadian case study of LEED and BOMA-BEST properties." Smart and Sustainable Built Environment 6, no. 4 (November 20, 2017): 102–15. http://dx.doi.org/10.1108/sasbe-03-2017-0008.

Full text

Abstract:

Purpose It is becoming increasingly clear that as the pressures of climate change increase around the world, all nations must strive to lower their carbon footprint through conservation. If the growth trend of green building and infrastructure construction is to be continued and improved upon, then evidence must be collected as to the benefits they bring about, and the level of support they enjoy in the market. The purpose of this paper is to shed light on the economic performance of green buildings by evaluating whether LEED for Homes and BOMA-BEST properties capture higher market valuations and lower vacancy rates. These types of research questions have not been investigated to a great deal in the Canadian context. The primary analysis concerning municipal market valuation of green buildings was conducted using robust ordinary least squares and logistic regression models. Commercial vacancy rates were compared through the use of χ2 tests. Our analysis did not lead to conclusive evidence that there exists a “green” premium in the real estate market with respect to municipal market valuations. The authors argue that this may largely be due to municipal appraisal methods that currently do not incorporate sustainability factors. As such, they may not adequately reflect market tastes and trends. Furthermore, while the vacancy rates of green commercial buildings were, on the whole, lower than their non-green counterparts, the differences were not statistically significant. Given these results, the authors propose a set of research activities that the academic community should pursue. Design/methodology/approach Statistical techniques are utilized test whether green certification (LEED/BOMA-BEST) leads to higher municipal valuation for both commercial and residential green properties, using regression analysis. Furthermore, χ2 tests are conducted to evaluate whether certification leads to lower vacancy rates for commercial properties. Findings In terms of valuation, certification does not exert (on average) a positive role in terms of higher valuations for both commercial and residential properties. However, with respect to vacancy rates, there is a tendency towards lower vacancy rates for green properties, but the relationship is not statistically significant. Research limitations/implications The next set of research needs to gather greater amount of data with respect to how municipal evaluations are performed since the results are counter-intuitive. Greater tracking of the financial performance of green buildings should be conducted and made available for both public and private bodies. Particularly, rental and sale prices of green buildings need to be tracked in an organized manner. Practical implications The valuation techniques utilized by the municipal authorities need revision as green properties are being assessed without appropriate guidance from educational institutions. Furthermore, the limited amount of “green” valuation techniques in existence may not be applied. Originality/value This is the first Canadian-based research looking into the valuation of green certification using rigorous quantitative statistical techniques and original and publicly available data. Furthermore, it holds important lessons for municipal authorities with respect to green building valuation beyond Canada as the limitations of current practice go mostly likely beyond the North American context.

APA, Harvard, Vancouver, ISO, and other styles

44

Allee, Kristian D., Devon Erickson, Adam M. Esplin, and Teri Lombardi Yohn. "The Characteristics, Valuation Methods, and Information Use of Valuation Specialists." Accounting Horizons 34, no. 3 (April 1, 2020): 23–38. http://dx.doi.org/10.2308/horizons-19-057.

Full text

Abstract:

SYNOPSIS We provide insights into the inputs and valuation models used by valuation specialists. We survey 172 valuation specialists and conduct several follow-up interviews covering various topics, including the valuation inputs, models, and industry information that they use, as well as how they estimate long-term growth and the cost of capital. We find that valuation specialists rely on their professional judgment to select a valuation model but prefer the discounted cash flow (DCF) model. They primarily rely on the firm's historical performance when forecasting the financial statements, but communication with management is particularly relevant for forecasting future earnings or cash flows. When estimating the cost of capital, they most commonly use the risk-free rate with subjective adjustments. The results of our study provide insights on the information use of valuation specialists that are relevant to other valuation specialists, managers, academic researchers, and regulators. JEL classification: M41; G12; G17; G32.

APA, Harvard, Vancouver, ISO, and other styles

45

Young, Steven, and Yachang Zeng. "Accounting Comparability and the Accuracy of Peer-Based Valuation Models." Accounting Review 90, no. 6 (February 1, 2015): 2571–601. http://dx.doi.org/10.2308/accr-51053.

Full text

Abstract:

ABSTRACT We examine the link between enhanced accounting comparability and the valuation performance of pricing multiples. Using the warranted multiple method proposed by Bhojraj and Lee (2002), we demonstrate how enhanced accounting comparability leads to better peer-based valuation performance. Empirical tests using firms from 15 European Union (EU) countries over the period 1997–2011 (with comparable peers selected from the entire cross-section of foreign firms) document significant improvement in valuation performance measured as pricing accuracy, the ability of value estimates to explain cross-sectional variation in observed price, and the ability of the pricing multiple to predict future market-to-book multiples. Findings for a series of identification tests suggest that enhanced valuation performance is the consequence of improvements in the degree of cross-border accounting comparability that occurred during the sample window, and that a significant fraction of comparability gain operates through improved peer selection.

APA, Harvard, Vancouver, ISO, and other styles

46

Alshorman, Salah, and Martin Shanahan. "“Look on the bright side”: CEO optimism and firms' market valuation." Pacific Accounting Review 33, no. 3 (February 8, 2021): 274–300. http://dx.doi.org/10.1108/par-04-2020-0041.

Full text

Abstract:

Purpose Previous research suggests that a CEO’s attitude can impact a firm’s performance. More particularly, there appears to be a link between the CEO’s revealed level of optimism and firm’s market value. The purpose of this paper is to measure the level of optimism revealed by Australian CEOs in their shareholder letters and compares this with their firms’ current and future valuations. Design/methodology/approach This study assesses the CEO’s level of optimism using text analysis of the annual letters to shareholders in 180 Australian-based firms from 2010 to 2013. The market valuation of their companies over the same period is calculated using Tobin’s Q, and the results compared with the level of CEO optimism. Findings Comparing the level of revealed optimism with their firms’ valuations over four years, CEO optimism is positively correlated, both currently and prospectively with firm valuation. Given the period under study immediately followed the global financial crisis (GFC), the results suggest CEO optimism may be an important factor in adding to firm’s market resilience. Research limitations/implications The study examines the link between revealed CEO optimism and firm valuation over a turbulent period of the business cycle. While the sample period follows the GFC, and Tobin’s Q has some known deficiencies, the results imply that further research should be undertaken to examine the importance of CEOs tone and communicated attitudes on their firms’ financial outcomes. Practical implications The link between CEO optimism and the firm’s valuation suggest that shareholders and boards should pay particular attention to the values, cognitions and psychological and demographic characteristics of top executives when selecting CEOs. In particular, the results suggest that given two otherwise similar CEOs the one whose record of communication is optimistic should be preferred over a similarly qualified but less sanguine individual. Originality/value The paper represents the first study demonstrating the link between CEO’s communicated optimism and Australian firms’ valuations. The study uses three different measures of optimism to improve the robustness of its conclusions, and a comprehensive measure of firm value – Tobin’s Q. It is the first to quantify the association between CEO optimism and firm value shortly after a period of financial upheaval (the GFC). The findings indicate that CEO optimism contributes significantly to firm value. The study also tests whether “excessive” optimism negatively impacts firm performance and conclude there is no evidence of this in the sample period. The study suggests that more research should be done to examine the contribution of positive business attitudes to periods of economic stress.

APA, Harvard, Vancouver, ISO, and other styles

47

Du Toit, S. G., and J. D. Krige. "The price-to-book effect on the JSE: Valuation disparities and subsequent performance." South African Journal of Business Management 45, no. 4 (December 31, 2014): 93–99. http://dx.doi.org/10.4102/sajbm.v45i4.143.

Full text

Abstract:

The purpose of this study was to determine whether the relative out- or underperformance of a value portfolio versus a growth portfolio can be anticipated in advance by comparing a valuation difference multiple with the subsequent fiveyear relative performance of the value and growth portfolios. The valuation difference multiple was calculated as the median price-to-book value (P/B) ratio of the growth portfolio divided by the median P/B ratio of the value portfolio. Using monthly data for the period 1991 to 2011, this study found that in most instances the higher the valuation difference multiple, the higher the outperformance of the value portfolio over the subsequent five-year period, as compared to the growth portfolio.

APA, Harvard, Vancouver, ISO, and other styles

48

Tizniti, Douaa, and Mohammed Rachid Aasri. "How discounts impact IPOs valuation performance and underpricing? A confrontation between warranted and unwarranted discounts." International Journal of Financial, Accounting, and Management 3, no. 1 (June 4, 2021): 1–14. http://dx.doi.org/10.35912/ijfam.v3i1.510.

Full text

Abstract:

Purpose: We investigated the different impacts warranted and unwarranted discounts have on IPOs valuation performance and underpricing. Research methodology: We used multivariate ordinary least squares regression analysis to examine discounts’ determinants, and their impacts on valuation errors and underpricing. We also used bias and accuracy errors to examine valuation performance. Results: We find both final offer price accuracy errors and underpricing negatively related to warranted discounts and positively related to unwarranted discounts. Additionally, warranted discounts are positively related to fair value estimate bias errors, contrarily to unwarranted discounts. Limitations: The relatively small sample size represents our study’s main limitation. Contribution: Unwarranted discounts allow assessing by issuers' underpricing level and underwriters’ sub-optimal efforts and investors' positive returns. Whereas warranted discounts allow issuers to avoid overpricing IPOs and communicate their intrinsic value, investors assess their negative returns, and underwriters reveal their superior qualitative valuation. Regulators can increase after-market efficiency and protect investors by implementing unwarranted discounts’ constraints and warranted discounts’ thresholds.

APA, Harvard, Vancouver, ISO, and other styles

49

Metzner, Steffen, and Andreas Kindt. "Determination of the parameters of automated valuation models for the hedonic property valuation of residential properties." International Journal of Housing Markets and Analysis 11, no. 1 (February 5, 2018): 73–100. http://dx.doi.org/10.1108/ijhma-02-2017-0018.

Full text

Abstract:

Purpose The development and testing of the hedonic methods for property valuation require statistical analysis and professional preparation of relevant databases. As a first step, the presumable relevant influencing variables (parameters) have to be determined. Previous studies have shown a large variety of parameters which overlap or deviate from each other. This study aims to collect, systematise and structure different parameters for the further development and testing of hedonic models. Design/methodology/approach The study comprises a detailed research and deeper analysis of previous studies regarding the hedonic valuation (mainly for residential properties). Flanking areas of examination serve, if they are appropriately suitable, as supplements (e.g. performance analysis and regression). Parameters are extracted from a wide range of literature, compared and integrated into an overall presentation of the results. Findings In total, 407 parameters were extracted from previous studies on hedonic valuation and performance analysis. Because of various definitions of some parameters in the literature, the current paper combined them in one meaning to avoid misunderstandings in further analysis. Higher-level (global) and lower-level (specific) parameters are contained/described in the final list. The result of this study identifies up to five levels of parameters (within the relevant hierarchy). Research limitations/implications The parameters have not yet been statistically tested. The relevance of individual parameters has to be tested with relevant corresponding databases and statistical methods (e.g. correlation and regression). Practical implications To manage larger real estate portfolios, there is a need for regular property valuations. From this perspective, there is a great interest related to the optimisation of the valuation costs, valuation quality and valuation duration. Hedonic methods are considered as an efficient way of performing these valuation tasks. However, further suitable models and parameters are needed. The study describes parameters that can be appropriate for the development of relevant models and creates a structured parameters list, providing the technical basis for the latter. This structured parameter list is substantiated by the evaluation of the existing research. Social implications Property values represent a significant asset for the national economy and for the individual wealth/welfare. The development of property value in a national economy is also relevant for politics, economy and society. The use of hedonic methods and the knowledge of important individual parameters can contribute towards assessing and substantiating the effect of political decisions on the value of real estate. Originality/value For the first time, a comprehensive and structured analysis on the value of the relevant parameters used in hedonic methods is performed. Thereby a large number of parameters were identified which question the stability of the results in respective individual studies. In addition, the newly developed hierarchy of parameters can serve as the basis for further research.

APA, Harvard, Vancouver, ISO, and other styles

50

Vallejo Alonso, Belén, José Domingo García Merino, and Gerardo Arregui Ayastuy. "Motives for Financial Valuation of Intangibles and Business Performance in SMEs." Innovar 25, no. 56 (April 1, 2015): 113–27. http://dx.doi.org/10.15446/innovar.v25n56.48994.

Full text

Abstract:

In line with the Resource-based view, intangibles have become the key resource for generating competitive advantages in a firm. This is particularly significant in the case of small and medium enterprises (SMEs) whose competitive advantage is frequently based on intangible resources. However, there has been little attempt to assess and measure the role of intangible resources in firms' performance, and the motives driving their valuation process. Besides, most of the studies have been carried out in large firms. This article, combining theoretical contributions and empirical evidence, aims to analyze the relationship between the motives, external or internal, driving the valuation process of intangibles and the performance obtained by SMEs. Considering the recognized hypotheses and based on a survey of a representative sample of 369 Spanish SMEs' managers, in addition to the financial data collected from these firms, we explore whether the different motives driving the companies to perform a financial valuation of their intangibles are reflected in the business performance, and conditioned by financial structure and the level of intangibles. Results indicate that SMEs consider important to report intangibles value to external stakeholders as they depict a higher level of borrowing, as well as a higher level of intangibles accounted in the balance sheet. Furthermore, SMEs that consider the financial valuation of their intangibles for internal reasons achieve better performance. The implications of these results and suggestions for future research are dicussed as well.

APA, Harvard, Vancouver, ISO, and other styles

Journal articles on the topic 'E valuation de la performance'

Create a spot-on reference in APA, MLA, Chicago, Harvard, and other styles