Biopharmacy Listing Corporations Valuation Research

Biomedicine is a most potential industry in the 21stcentury. According to prediction, biological technological medicines will increase at a rate of 25 percent per year. As a result, many investors prefer stocks (equity) of biomedical listing corporations. There are common occurrences of merge among them. However, some listing corporations do not achieve outstanding achievements. Biopharmacy companies are faced with both huge developing potential and risks. It's crucial to identify, measure and control those risks. Investors are increasingly concerned of company valuation covering risk factors.The company valuation is an integrated capital valuation and also a judge and estimation process, which main obey or serve for the company of transfering or exchanging property right. In the high-tech rapid development circumstance which cored by the financial economy, global economy and information technology, the acquisition activities raised gradually between the global companies. So it is very important to make the price for the acquisition target company, and the application of the company valuation will be extended greatly.There are 3 main valuation models: income model, capital model and discount cash flow model. Among them, each model has different advantage and defect. With the development of the high-tech enterprise, the option model gained application to valuate companies. Acoording to company valuation theory, based on ananlysis and comparison of present company valuation model and valuation technology, combining characteristics of biopharmacy company of high technology, high risk, high profits, I take Sichuan DiKang science and technology pharmacy, a biomedical listing company for DCFM model value's valuation. Through analysing DiKang's past achievements and value-driving business, I madeidentification of value-driving elements of the company, construed DiKang's strategic design, and transformed the design to financial forcast for estimating the company's value, so as to provide investment decision for investors and help managers to effectively mange value drivers.Discount cash flow model is an effective valuation model, which not only can be applied at the high-tech listing corporations but also the other biopharmacy listing corporations...