Valuation Methods And Applications Of Internet Companies

In recent years,more and more Internet companies successfully listed.Their participation in corporate mergers,restructuring and capital operation activities keep high enthusiasm,and this series of capital activities carried out smoothly,the premise is the need of comprehensive and objective valuation of Internet enterprise.So according to the characteristics of the Internet enterprise itself,how the Internet enterprise the market value of effective assessment,which has become the focus of academic research in China.At present,China is facing many problems in the valuation of Internet companies,they will be confined to the content of the assessment of financial indicators,generally only additions and amendments in western countries based on the study of theory and Practice and do not take into account in the context of the Internet economy,non financial factors have great influence on the intrinsic value of Internet companies.Based on the financial index and non-financial index valuation method,this paper analyzes the applicability of various methods in Internet company valuation The thesis focuses on the adjusted DCF and real options,and illustrates the feasibility of applying the adjusted DCF and the real options approach in Internet company valuation.Whether from the theoretical analysis or the comparison of the results of the case valuation,compared with other valuation methods,the adjusted DCF and the real option method have more advantages.In the current Internet business valuation practice,the adjust DCF and real option method can be used as a reliable valuation method.At the same time,the results of other different valuation methods can be combined to serve as a reference to the final target Company valuation results.It is more objective and feasible than the commonly used valuation methods.The improvement of the two methods mentioned above not only expands the application scope of the adjusted DCF and real option method in valuation field,but also enriches the evaluation theory of Internet enterprise value.The valuation method which put forward in this paper helps enterprises accurately determine their positioning in the Internet market position,make reasonable strategic target for the development of network enterprises,improve enterprise management level,improve the operating conditions,provides valuable decision-making suggestions.Whether it is for enterprise development and practical practice of enterprise investment has a strong reference.