Multiples method used in evaluating companies started to gain increasingly more credibility to the specialists compared to the traditional business evaluation methods. There are many studies, both theoretical and empirical, that focus on this topic especially on the accuracy of determining...

There are many methods used to value equity and companies. Most of them fail to give a realistic value to the firm being valuated. The most used technique is discounted cash flow method. Because of its weaknesses, the investors are using more and more another approach to rate companies. This is...