Research On The Value Of Environmental Protection Enterprises Under The Carbon Neutrality Target

In 2021,as the first year of the realization of the "dual carbon" goal,many policy and management measures related to low-carbon environmental protection will be issued.Carbon neutrality will have an important impact on all walks of life and even the transformation of my country’s economic structure,but this paper only focuses on the environmental protection industry companies that have the greatest impact under the low carbon goal.It is intended to analyze the meso and micro impacts of the carbon neutrality goal and related policies on the environmental protection industry and enterprises in the industry,and to discuss the development prospects and value estimates of the case companies under the carbon neutrality goal,so as to get a glimpse of the impact of the carbon neutrality goal on my country.The impact mechanism of economic transformation and upgrading,in order to provide some research conclusions on how to achieve carbon neutrality goals on time.In the industry analysis part,this paper mainly analyzes the characteristics of the environmental protection industry and the two sub-sectors in which the case companies are located and the impact of the carbon neutrality target,and draws the following conclusions: The economic work deployment and policy formulation of the state and the government to achieve the "dual carbon" goal are the best guidance for the future development direction of the environmental protection industry.Policy incentives will expand the market size and business capacity of the environmental protection industry to a certain extent;The processing fee level of the waste incineration power generation market gradually returns to rationality;Policy opinions related to carbon neutrality are being issued to guide the normative development of the environmental protection industry;Environmental protection industry has natural advantages in carbon asset management and carbon trading market.In the part of enterprise analysis,this paper selects the case company as Weiming Environmental Protection Co.,Ltd.,through in-depth analysis of Weiming Environmental Protection’s business model and business development advantages,and the impact of carbon neutrality goals on Weiming Environmental Protection’s future operations,the following conclusions are drawn: Due to the incentives of policies and competition and cooperation in the environmental protection industry,the R&D capabilities of enterprises will be further improved;The introduction of new policies will promote the improvement of financing,talent attraction,technological upgrading and industry standards;carbon neutrality will also have a positive impact on Weiming Environmental’s business scale,business model,new business expansion,and expected risks.Based on the above analysis,this paper uses the discounted cash flow method in the income method to evaluate the enterprise value of the case company.First,combine industry analysis and enterprise analysis conclusions to predict the company’s future free cash flow.Secondly,using an appropriate discount rate,the expected cash flow is converted into the value on the evaluation base date,so as to obtain the value of Weiming Environmental Protection’s operating assets.Finally,adding the value of nonoperating net assets and liabilities and surplus assets on Weiming Environmental Protection’s book on the base day,the overall value of the enterprise is obtained.The evaluation result is 51,904,874,200 yuan,and the value-added rate is 395.60%.There are two reasons for the larger appreciation of the valuation results compared with the book assets: first,Weiming Environmental Protection has stable operation,the gross profit margin of the business has maintained a high level,and the company’s cash flow is relatively good.Second,in the evaluation process,this paper fully considers the impact of the carbon neutrality target on Weiming Environmental Protection’s operating income and operating risks in the future,and believes that Weiming Environmental Protection will maintain a high revenue growth rate during the forecast period.,have lower risks,etc.,so the valuation result is higher than the book asset premium,and it is further concluded that environmental protection enterprises under the carbon neutrality target face more opportunities and higher valuation expectations.