Applied Research On Valuation Of China Corporation

In our opening finance market, M&A between corporations have happened more and more. How to give price to stock, debt, share of the corporate or the whole of the corporate has been an important issue. In our nowadays practice, price on net capital has been the main method. But this method is difficult to reflect the real value of a corporation. That using this method so much to value the corporate reflect that our applied research on valuation of corporate is weak.This paper focuses on the applied research on valuation of China Corporation. There is theory analysis on valuation, parameter and measurement of corporation, which is include discount model of free cash flow, comparative model and option price model. Then have decisions on china corporate valuation, which about choose the parameter, change the model to obey the china practice.How to use these models to china corporate valuation is the most important issue in this paper. By valuing the china corporation by the corporate data, which about discount model, comparative model and option model, we can gain that we can value China Corporation by these models after some changes in these models.This paper presents the applied research on China Corporation by theory and practice. And these are outcome in these analyses, which is as following. Have some well experiment in measurement the free cash flow when valuing with discount model, calculate the sensitive of some comparatively ratio when valuing with comparative model; measurement the parameter when valuing with option model. I think all of my effort will help china applied research on corporate valuation.