1、Enterprise value based on the analysis of financial statements 5 中文 4400 字 Babic Z, Plazibat N. Enterprise Value Based On The Analysis Of Financial Statements J. International journal of production economics, 2008, 56: 29-35 EnterpriseValue Based On The Analysis Of Financial Statements Z Babic, N Pl
2、azibat ABSTRACT Analysis of data on the financial statements, the use of discounted cash flow method, the relative value of other methods to analyze financial statements and financial data to find useful data on the enterprise value analysis, with its inherent value is the closest a value to facilit
3、ate management by better management decisions and investment decisions of enterprises. Now, under the conditions of market economy, the enterprise itself can be traded in the market of goods, by the profits to maximize the conversion to maximize the value of. Therefore, the enterprise value based on
4、 financial statement analysis is particularly important. Financial statements as a reflection of the financial position and operating conditions of enterprises, statutory information of listed companies, the real financial statements data can reveal the enterprises past operating results, the pros a
5、nd cons of the identification of business, to forecast the future of the enterprise. The article first describes the limitations of the traditional statements and how to improve, then the enterprise value is based on the improved report. KEYWORD:Financial statements, corporate value,Enterprise value
6、 evaluation 1 Introduction 1 The meaning of enterprise value The enterprise value is accompanied by the emergence of property rights trading market in the 1960s, a concept first proposed by the U.S. regulators. Under market economy conditions, the goods of the enterprise itself is a transaction in t
7、he equity market as the commodity stakeholders, including investors, creditors, managers must understand the value of the business. Enterprise value as a commodity currency performance. 1.2Analysis of the significance of enterprise value Enterprises maximize the value of thinking helps to improve th
8、e company. Each listed Enterprise value based on the analysis of financial statements 6 company to meet the interests of all creditors and preferred shareholders as a precondition (the common shareholders by the board of directors to monitor the enterprise to protect their own interests), the greate
9、r the enterprise value, the more secure the interests of creditors and preferred shareholders ； value of the enterprise, means that the higher its stock price to the shareholders. return more and more able to attract investors. 1.3Evaluate the enterprise value of the role of 1.3.1Enterprise value ev
10、aluation for enterprise management The enterprise value maximization as the financial targets in line with the characteristics of the enterprise itself, the enterprise value is the corporate long-term profitability. The enterprise value maximization is reasonable management on corporate finance, the
11、 optimal financial policy, and takes full account of the relationship between the time value of money and the risks and rewards on the basis of ensuring the long-term and stable development of total value. 1.3.2Enterprise value evaluation for investment decisions According to the principle of the la
12、w of value in the stock market, the enterprise value determines the stock price, stock prices, in essence, the expected judgment is made by the investors in the companys future earnings, cash flow, investment risk around the enterprise value fluctuates, often deviate from the stocks intrinsic value.
13、 The market price and value deviation from the regression after a period of adjustment to the enterprise value. Therefore, the enterprise value evaluation, judgment, investors can find and purchase undervalued securities market or enterprise in order to get higher than the market average rate of ret
14、urn of income. 2The financial statements information to reflect the enterprise value 2.1The enterprise value of performance through the financial statements The financial statements are expressed in the statements of the enterprise value through the process and results that reflect the business acti
15、vities of enterprises. The balance sheet is accounting statements reflect the financial condition of enterprises in a certain point in time to reveal the enterprise value. Its on the left is the value and the total value of the assets of the enterprises have a variety of assets； the right of the lia
16、bilities and net assets, in which the liabilities that the creditors should share the share of enterprise value, Enterprise value based on the analysis of financial statements 7 enterprise value share of the net assets owned by the owner. 2.2Financial data and corporate value Financial report means
17、a written document of the foreign enterprises reflect a specific date, financial condition and operating results, cash flows and other accounting information of a particular accounting period. The financial report should show at least the following components: (1) balance sheet； (2) the income state
18、ment； (3) Cash Flow Statement； (4) changes in owners equity (or equity)； (5) Note. 2.3Financial statements for the two basic approaches to the analysis of the enterprise value 2.3.1Ratio analysis and comparative analysis Ratio analysis, financial statements related to the amount of contrast, to draw
19、 a series of financial indicators with a certain sense, and logical relations, in order to reveal the financial position, operating results and cash flows, an analytical skills, is a modern financial statement analysis is the most important and most commonly used analytical methods, the use of ratio
20、 analysis to analyze with simple calculation can be a significant problem characteristics. Ratio analysis and robust, but also has its limitations, if there is no comparable based on financial indicators does not make any sense. Ratio analysis to belong to the static analysis to predict the future i
21、s not absolutely reasonable and reliable, but to predict the future but it is a decisive factor for assessing enterprise value. 2.3.2DuPont Financial Analysis System DuPont Financial Analysis System (referred to as the DuPont system) because originally founded by the United States DuPont corporate a
22、nd successful use of named. DuPont System of Financial Analysis is a popular expression, the rate of return on net assets broken down into three parts: sales net profit margin, total asset turnover and equity multiplier. Reflect the profitability of the enterprise asset management efficiency and fin
23、ancial leverage. It is a systematic, convenient way to financial analysis, to explain the reasons for the change and changes in trends, analysis of corporate profitability, operational capacity and capital structure and to take measures specified in the side sentence. 3The problems of the traditional financial statement analysis 3.1Unified financial statements
