Research On Value Evaluation And Promotion Of TN Company Based On DCF And B-S Model

The creation of science and technology innovation board is an important measure to improve China’s multi-level capital market and promote the implementation of the strategy of strengthening innovation and science and technology.It will help guide the market to allocate favorable resources to science and technology and innovation-oriented enterprises and provide more opportunities for such enterprises.Under the resonance of policy,technology and other factors,many companies take advantage of this opportunity to raise capital,expand capacity and continue to research and develop new products.However,different from traditional enterprises,sci-innovation enterprises have the characteristics of high risk,prominent sci-innovation attribute,light assets and so on,and their management mode and value composition are very different.The value results evaluated by traditional methods only deviate from the actual value of enterprises,so it is impossible to evaluate all its value.A relatively reasonable valuation of scientific and technological innovation enterprises can identify excellent scientific and technological innovation enterprises,help enterprise managers to conduct value management,guide investors to make reasonable investment and achieve sustainable development.Based on this background,using a valuation model suitable for science and technology innovation board enterprises,to make a reliable value assessment is the key content of this paper.This paper takes TN Company,which has the attribute of scientific innovation,as the research object,combined with DCF(discounted free cash flow model)and B-S(real option model)model to evaluate the value of the company.Firstly,through the analysis of the concept,limitations and applicability of value assessment methods,it is pointed out that the combination of DCF and B-S model can make up for some defects of traditional value assessment methods,and the combination of the two can be better applied to TN company.Secondly,the overall value of TN company is divided into two parts: the existing asset value and the potential value created by R&D investment.The discounted free cash flow model is used to estimate the existing value,and the B-S model is used to estimate the potential value.The overall estimated value of TN company on the base date of 2022 is RMB 3,827,7281,800.At the same time,sensitivity analysis was made on DCF model and B-S model to understand the degree of influence of parameters on estimated value.Thirdly,the results of the model are compared and analyzed with the market value of the base date,the market value of three months before and after the base date and the valuation results of the price-earnings ratio method to verify the rationality of the combination model.It is concluded that the assessment results of DCF and B-S combination model are closer to the market price and can well reflect the overall value of TN company.Finally,according to TN Company’s financial status,portfolio model evaluation process and sensitivity analysis of the factors affecting the change of value,it proposes to strengthen the company’s raw material management,improve the company’s asset utilization rate,optimize the capital structure to improve the company’s existing value,increase research and development investment,reduce the uncontrollable risk of investment projects to improve the company’s potential value,in order to improve the overall value of the company.In conclusion,based on the theory and practice of asset appraisal,this paper uses the combined model to evaluate TN company,hoping to provide certain reference value for related research.