E-commerce Internet Company Value Assessment

In recent years,the rapid development of the Internet industry,how to evaluate the value of Internet companies have been the market focus.E-commerce,as the most rapidly growing segment of the Internet industry in recent years,has attracted more attention for its assessment of the value of related companies.Many market cases prove that current loss-making Internet companies do not necessarily have low investment value,and their future development potential tends to have a greater impact on their investment value.For example,enterprises such as JD.com and Amazon are losing money to maturity.Internet companies with great potential for future growth generally invest heavily in technology and model innovation.However,how to identify the real value of Internet companies,not just their current profit and loss status,is still a problem that the market continues to explore.The core issue of this paper is how to evaluate the value of e-commerce Internet companies more scientifically.To answer this core issue,this article explores three levels.First,what are the characteristics of the business model of e-commerce Internet companies compared with traditional enterprises?Secondly,what factors should be considered in addition to the traditional indicators for the valuation of e-commerce Internet companies?Finally,what kind of valuation method should be used to evaluate e-commerce Internet companies?Based on the above three levels of exploration,The research idea of this paper is divided into three steps:First,summarize the background of Internet companies and the business models of Internet companies,and abstract the characteristics of Internet companies.Secondly,sorting out the traditional valuation method and Internet enterprise valuation method currently existing in the market,refining the valuation principle and exploring the reference factors that should be concerned about the valuation of Internet companies:Finally,this article takes the case study research method,Analyzes and applies GuotaiJunan's revised DEVA valuation method(stock value discount analysis method).While testing whether it is more reliable than the PS valuation method,it also conducts in-depth research and thinking on many factors that affect the value of e-commerce Internet companies.The main findings of this study are as follows:The business model of the Internet is the main reason for its value assessment method being different from other enterprises.However,the initial investment cost,market share,average contribution per user and active users have a great influence on the value of Internet companies.The main iconclusions of this study are:Matthew Effect,network effect,economies of scale,and unique commercial profit model are important factors that affect the valuation of Internet companies.Therefore,traditional methods such as cash flow discount method and relative valuation method cannot effectively Internet companies for value assessment.Compared with the traditional valuation methods,fully takng into account the factors that affect the value of the enterprise DEVA value assessment method specifically for Internet companies such as assessment methods,but also more scientific reflection of the value of Internet companies.The innovation of this research lies in:First,the indicators other than financial indicators such as market share,average contribution per unit user,and active user amount are considered as the key considerations for e-commerce Internet valuation.Secondly,the revised DEVA valuation method was introduced and applied to e-commerce Internet companies for the first time,providing targeted and relatively reasonable valuation methods for such enterprises.