Business Valuation Update
- How to Review a Report’s Valuation Methodology
- Ideas for Solving Two Problems in the BV Profession
- How Do Your Firm’s Benefits Stack Up?
- Using Rule of Thumb Data to Uncover Cooked Books
Cost of Capital Should Align With the Broad Market Conditions as of the Valuation Date
Editor’s note: Marc Vianello introduced his observations regarding the problems associated with conventional methods of calculating cost of capital under volatile market conditions in the January issue of BVU. This article presents one possible methodolog ...
Applying Qualitative Judgments When Valuing Nontraditional or Hard-to-Value Securities
Previous to the recent dislocation in the credit markets, accounting standards for financial reporting were already expanding to include fair value measurements on a greater range of assets and liabilities; this was at a time when financial instruments were becoming more complicated, more structured, and less liquid and transparent. Despite some public push-back on mark-to-market fair value accounting, the general theme remains intact, and valuation practitioners have to incorporate valuation standards and procedures that properly ...
In re PLX Tech. Stockholders Litig.
Chancery says plaintiffs proved directors breached fiduciary duties and duty to disclose but failed to prove damages; court rejects plaintiff expert's DCF analysis, noting problematic projections and beta; “real-world market evidence” shows company was not worth more than deal price.