Alternate Valuation Methods in the Era of COVID-19
The authors address the impact of COVID-19 on the capital markets and offer alternate valuation methods that should be considered in these turbulent times.
Takeaways from the NYSSCPA BV/Litigation conference
Conference season is here but, of course, in virtual form due to the pandemic.
AICPA issues FAQs on valuation considerations related to the CARES Act
The latest in a series of very useful material from the AICPA is a document that includes FAQs that address questions about the impact of the CARES Act on business valuation.
Discounted Cash Flow: Speculative or Convincing
Gary Trugman and Harold Martin will discuss, debate, and dissect the pros and cons of using a discounted cash flow analysis, particularly in times of COVID-19. With questions such as how to handle the unknown future, when and how to use past performance to forecast the future, what to do when management gives you a forecast that you do not believe, and what to do when management is incapable of giving you a forecast at ...
Discounted cash flow projections during the crisis: tune in Thursday to BVR webinar
To keep DCF analyses trustworthy, are multiple scenarios now required?
New Epsilon Research, FactSet, and DealStats studies offer valuers first indications of the current trajectory in private-company values
Most valuers sense that small and medium-sized enterprises are less marketable, and less valuable, than they were at the beginning of the year.
Easing on physical inspections begins while RICS (and others) promote data-driven property appraisals
BVWire—UK has been following the evolution of the property appraisal market as it switched to data-only valuations in response to COVID-19 (and mortgage lenders either stopped issuing new loans, or significantly reduced their maximum loan-to-value cap, effectively keeping most new buyers out of the market).
Refinitiv and S&P Global both enhance sustainability ‘ESG’
The two big financial data providers, Refinitiv and SPGI, released improvements to their methodologies to score listed company performance across social value themes including emissions, environmental product innovation, diversity and inclusion, human rights, and shareholder access.
A Veteran Valuer’s Guidance on COVID-19 and the ‘Soul’ of a Business
An interview with Robert Schlegel, FASA, MCBA (Houlihan Valuation Advisors), in which he gives his perspectives on our current economic environment and how that affects the business valuation community.
Is History Repeating Itself? A List of BV Guidance From the 2008 Financial Crisis
Insights from business valuation history can give some degree of help during today’s crisis. Here are some blasts from the past courtesy of the search capabilities of the BVResearch Pro platform.
The Valuation Paradigm of COVID-19: Using the DCF Method After an Economic Crisis
The challenge amid today’s market disruption is to revert back to the foundational elements of valuation and how to properly apply those “blocking and tackling” fundamentals during very untraditional times.
Will COVID-19 open up the PIPES market in the UK? Baker MacKenzie say yes.
Private investments in public equities (PIPES) are a little-used financing alternative in the UK, but a new article by Baker MacKenzie London partners Nick Bryans and James Thompson in this month’s International Financial Law Review (IFLR) suggests that need may outweigh the huge cultural and regulatory hurdles.
The Comprehensive Guide to the Use and Application of Transaction Databases, Fourth Edition
May 2020 Hardcover, PDF
Alina Niculita
Business Valuation Resources, LLC
BVResearch Pro: A Complete and Cost-Effective BV Library
BVR has amassed 25 years of the collective knowledge of the business valuation profession’s top thought leaders and packed it all into a single new cost-effective platform called BVResearch Pro. This program will show you the platform, what it includes, and how it can help you. You will see how the platform’s powerful search engine puts a complete library of insights, news, legal analysis, and commentary right at your fingertips.
In BVU article, Strickland suggests cost approach may be the ‘Cinderella’ of current crisis
The cost approach is normally accorded a lower status for going concerns, but Andrew Strickland advises valuers to think twice given the current crisis.
Take advantage of lockdown time to hone your Excel skills for business valuation
BVR’s Excel for Valuation E-Learning Course offers the following.
Book Review: Best Practices: Thought Leadership in Valuation, Damages, and Transfer Price Analysis
A “gem” is what this reviewer calls a new book by Robert F. Reilly and Robert P. Schweihs of Willamette Management Associates.
Built for BV: The New Platform for Guideline Public Company Comps
In March, BVR will launch a new guideline public company comps platform with Excel add-in. This new robust tool will help BV professionals maximize their guideline public company method work. Attend this webinar and learn how to streamline your guideline public company comparable searches and results by using this new platform. Using a structure similar to the DealStats platform, users will have the access to a wide range of beneficial features, which will be showcased ...
What risk-free rate should financial experts use now? New resources from Fernandez and BVR
‘This is a good time to revisit the implied ERP rather than the historical ERP,’ advises Dr. Michael A. Crain (Florida Atlantic University).
Don’t Automatically Reject the Asset Approach for Going Concerns
Many valuation analysts immediately reject the asset-based approach for operating businesses, but this is a problem, say Robert Reilly and Weston Kirk, who are both with Willamette Management Associates. The method is rejected too often because analysts are not familiar enough with the asset approach or they have misconceptions about when (and when not) to apply it.
Houlihan Lokey anticipates increase in distressed loan valuations
The ‘coronavirus-triggered economic downturn could lead to many performing loans to become distressed, especially for highly-leveraged companies,’ says a new client advisory from Houlihan Lokey, the global investment bank and valuation firm.
New BVR briefing on impact of data breaches on firm value
During this time of crisis, hacking and data breaches are likely to increase.
A ‘gem’ of a book from Reilly and Schweihs
That’s what Roberto H. Castro (Central Washington Appraisal, Economics & Forensics LLC and Gravis Law PLLC) says in his review of Best Practices—Thought Leadership in Valuation, Damages, and Transfer Price Analysis.
Coronavirus fallout impacts the valuation community
The unpredictable coronavirus is disrupting work plans of valuation and accounting firms and impacting the global market.
IRS ruling on subsequent events and valuation
In a private letter ruling, the IRS says that a pending merger is to be considered in valuing a company’s stock for gift tax purposes.