Metrics For Business Valuation

A public company’s value can be calculated by different approaches depending on the data available and are often shared through quarterly or annual reports, or financial statements. If you were a financial and investment analyst for a publicly traded company, you may be asked to give a presentation on how the company uses performance metrics in corporate valuation. Think about how you would present return on equity (ROE) and earnings per share (EPS) to a group of investors or senior management. Review a publicly traded company’s ROE and EPS. What do these results say about the company?