Study The Evaluation Of Enterprise Based On Discounted Free Cash Flow

Society,economy entered a stage of rapid development,the establishment of enterprises all walks of life have sprung up one after another today.With the continuous development of their own enterprises,more and more business managers to focus on the development of enterprises from the past to maximize profits to maximize the value of business changes.In such a big environment,how to scientifically and effectively assess the value of an enterprise is particularly important.For the assessment of enterprise value,different scholars have different views,in this paper to explore the issue of valuation of enterprises,the main uses of free cash flow is discounted.This paper first collected the Yunnan BAI Pharmaceutical Group Co.,Ltd.2007 to2015 financial statements,access to its corresponding financial data.And then through the analysis of data fluctuations,the data to be re-adjusted to make it more scientific and reasonable to meet the actual situation of their own development.And then to adjust the data based on the calculation of corporate history of free cash flow,and draw the corresponding line graph to observe the growth of the law.Finally,on the basis of historical financial data,the financial data of enterprises from 2016 to 2025 are forecasted,and the free cash flow of future enterprises is estimated,which greatly discounts a more accurate enterprise value.This paper finally calculated the value of Yunnan Baiyao enterprises about 65 billion.So far Yunnan Baiyao stock price 77.76 yuan per share,market capitalization of about 80 billion,the paper argues that Yunnan Baiyao shares a certain degree of overestimation of the financial statements to reflect the current data is concerned.In the end,the free cash flow discount method discussed in this paper is more scientific and reasonable to evaluate the enterprise value,which is suitable for the pharmaceutical industry in our country.