Research On Valuation Of Medical Device Companies Based On Modified EVA Model

With the continuous deepening of China's reform and opening up,the level of economic,cultural and social construction has entered a new stage.Against this background,China's medical level has steadily increased,people's living standards have continued to improve,medical care awareness has gradually increased,and the population is aging.The intensification of China's medical industry has also brought about an increase in related demand in China's medical industry.In addition,the state has introduced a series of favorable policies for the industry,including domestic substitution of medical devices for imports,public hospital reforms,and tiered diagnosis and treatment,to further promote the accelerated development of the medical device industry.While the market demand for the medical device industry continues to increase,the capital market continues to heat up,the industry attracts more and more domestic and foreign capital injections,and frequent M & A transactions.However,due to the late start of China's medical device supervision,in the medical device listed company sector,there are problems of difficult market supervision and irrational investment,due to insufficient rationality of its valuation.Therefore,it is necessary for the medical device companies to use a reasonable value assessment method to value the development of the industry and the healthy operation of the capital market.The medical device industry involves the use of high and new technology,and policy development has an important impact on the development of the industry.Therefore,this article considers that the financial indicators of medical device companies cannot fully represent their development potential,and non-financial indicators should not be ignored in the valuation.The impact of corporate value,such as corporate R & D and innovation capabilities,policy environment,economic environment,and corporate management level.Therefore,this article attempts to use a combination of financial and non-financial factors to conduct a value evaluation analysis on medical device companies.The theoretical significance of this article is mainly based on the characteristics of the medical device industry,which involves the use of high and new technology,and the policy guides the development of the industry.It is believed that the financial indicators of medical device companies cannot fully represent their development potential.The impact of non-financial indicators such as corporate innovation capabilities,policy environment,and management level on their corporate value should not be ignored,so non-financial factors are introduced into the EVA model to try to optimize and adjust the evaluation method,and then study the method in theory Feasibility,find a new way for enterprise value evaluation of the medical device industry.The practical significance of this article is mainly through case analysis to make a reasonable valuation of medical device companies,which can be used for corporate mergers and acquisitions,can also provide decision-making reference for investors and corporate managers,and is conducive to corporate performance management And long-term development.This article selects Xinhua Medical,one of the listed companies in the medical device industry,as the case study object.It analyzes the characteristics of the medical device industry,the applicability of current corporate valuation methods,and amendments to the non-financial indicator system.It chooses to use EVA to conduct a financial analysis of Xinhua Medical's basic value assessment,and then use the analytic hierarchy process and expert scoring method,determine their respective weights and correction coefficients from three non-financial perspectives of the company's external environment,technological research and development innovation capabilities,and enterprise operation and management levels,and modify the EVA valuation results.The final valuation result of Xinhua Medical is obtained.Combining the valuation results and the analysis of the company,it proposes management improvement suggestions to corporate managers,and helps investors make investment decisions,and also provides new ideas for the valuation method of the medical device industry.The research content of this article consists of six chapters:The first chapter is an introduction.It mainly expounds four parts: the first is the research background and significance of the thesis;the second is the research content and overall thinking framework of the thesis;the third is the main research method;the fourth is the innovation and deficiencies of the thesis.The second chapter is a literature review.The domestic and foreign related researches on enterprise value assessment,EVA valuation model and non-financial indicator system are summarized and reviewed respectively.Finally,the content of this chapter is summarized to lay the research direction and basis for this article.The third chapter is theoretical analysis.This article introduces the theoretical basis of this article from the two parts of corporate valuation and EVA valuation model,describes and clarifies the related concepts and functions of corporate valuation,and evaluates the commonly used valuation methods,and then introduces the relevant EVA valuation models used in this article.The theory and its calculation methods and related accounting adjustment items,and analyze their applicability and significance.The fourth chapter is the analysis of the valuation status of the industry where the research object is located.First of all,the definition and development status of the medical device industry are sorted out,and then the aspects that need attention in its value evaluation are analyzed according to its characteristics,and the applicability and limitations of the EVA model in the value evaluation of medical device companies are introduced.In order to solve the limitations,this paper introduces the idea of introducing non-financial indicators,and constructs a set of non-financial indicator systems for the valuation of medical device companies,which lays the foundation for the calculations that will be described later.The fifth chapter is the core part of this article,a case study.Based on the analysis of the situation of Xinhua Medical,select an appropriate EVA evaluation model,calculate the EVA valuation,and then use the analytic hierarchy process and expert scoring method to calculate the non-financial correction coefficient,and obtain and analyze the valuation of the case in this article.result.The sixth chapter is the conclusion part of this article.Combined with case analysis,the research conclusions are elaborated first,then the research suggestions and inspirations of this paper are put forward from three aspects of researchers,investors and business managers,and finally the deficiencies in this paper are put forward.The research purposes of this article are mainly reflected in the following: First,based on induction and analysis of related research on enterprise value assessment at home and abroad,explore the factors affecting the value evaluation of medical device companies,aiming to consider the impact of financial and non-financial factors at the same time,designed to find a value evaluation model suitable for this type of enterprise to provide ideas and enrich the existing research theories;second,take Xinhua Medical as an example to evaluate it,and analyze and calculate the process in order to make investor decisions And managers provide a certain reference and guidance to improve their enterprise value management level.