Company Valuation: Adding Valuation for Depository Receipts

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  • Understanding Depository Receipts Valuation:

    • The valuation of depository receipts is based on the underlying shares.
    • The depository receipt maintains a one-to-one ratio with the share.
    • For example, if the share is valued at €12.85, the depository receipt will also be valued at €12.85.
  • Adding a Valuation:

    • Click on "Add a Valuation."
    • A notification will inform you that valuation cannot be directly added in the depository receipts overview.
    • You will be redirected to the portfolio of the normal shares, specifically to the valuation ticket tab.
    • Add the valuation to the normal shares, which will automatically update the depository receipts valuation.
  • Using Equidam for Valuation:

    • Scroll down to find an explanation about Equidam.
    • Equidam is an online valuation tool that helps with detailed valuation processes.
    • It requires input of annual, historical, and forecasted numbers, along with answering various questions about the company’s market, activities, and team experience.
  • Valuation Methodology:

    • Equidam uses a discounted cash flow methodology to provide the valuation.
    • Ensure accurate input as the quality of the valuation depends on the quality of the data provided.
  • Recommendation for Using Equidam:

    • Companies often perform an initial valuation with a registered evaluator and then use Equidam for annual updates due to its cost-effectiveness.
    • Click the provided link to access Equidam with a discount for your calculations.
    • Check the blog on valuation and use the quick scan feature on the website for a preliminary valuation before moving to Equidam for a more detailed analysis.

🎥 Video instruction: 
You can also watch the instructions via the video below:

 

company valuation