Evaluation On Enterprise Value Of Sina

Since China's reform and opening up,With the rapid development of the economy,many new industries are also rising,and the development speed of the Internet industry can not be underestimated.The Internet plays a more and more important role in our life,so there must be fierce competition among the Internet enterprises.The traditional evaluation method can only simply determine the entity value of the Internet enterprise,but it can not effectively determine the risk value of the Internet enterprise.The real option model plays an irreplaceable role in evaluating the value of uncertainty,and it can be applied in many fields to evaluate the feasibility of project investment more comprehensively.Because this paper is mainly about the application of real option model,the article begins with a review of the literature review of the real options model at home and abroad.Then we start from the life cycle and value characteristics of Internet companies,trying to find out the correspondence between the valuation of Internet enterprises and the application of real option models.This paper selects Sina network as a case study.The main reason is: from the uncertain factors of sina network development and profit indicators in recent years,it is in line with the application requirements of real option model(with high growth).We divide the enterprise value of sina net into two parts: the entity value and the option value.For the entity value,we use the cash flow discounted model.The option value,we use the B-S model in the real option model.The final evaluation value is compared with the closing price of the Sina network enterprise evaluation datum to verify the rationality of the real option pricing method to evaluate the value of the enterprise.