Venture Valuation Flashcards
what is the definition of economic value
sum of future free cash flows an enterprise/business generates adjusted for risk and TVM
what is the difference between value and price
what are the key drivers of value
what are some common methods used to estimate value
what is the difference in valuation between traditional business model firms vs platform business model
what is a platform business model
what is stakeholder capitalism
private value
economic value for owners of the enterprise/business
economic value vs enterprise value
economic value: value based on ability to generate cash flows
enterprise value: value of equity and debt of company
what is operating asset value
total value of company assets that are directly used for core business operations and generating cash flows
what is an unlevered enterprise
funded solely through equity
what is operating asset value if the enterprise is funded solely through equity
equivalent to shareholder value
how does expectation play a role in shareholder value
drives stock price, stocks are a function of expectation
what is an ETF
what is the difference between value and price
what is the difference between a mutual fund and an ETF
what is a search and matching market
what is social value