Research On The Value Evaluation Of KT Biological Company Based On EVA And B-S Model

The biopharmaceutical industry is an important part of China’s economic development and plays an important role in helping "Healthy and Beautiful China".With the comprehensive deepening of reform,the quality of life of the people has made a qualitative leap,and the importance attached to physical health and the prevention of diseases are also continuously improving.The market demand for drugs and vaccines has increased significantly,with a considerable market prospect,which will enhance the investment enthusiasm of most investors for biopharmaceutical companies.Shenzhen KT Biological Products Co.,Ltd.(hereinafter referred to as KT Biological)was listed on the Growth Enterprise Market in 2017.As a benchmark enterprise in the biomedical industry,it has the advantage of vaccine research and development technology.Whether there is a significant deviation between the true company value of KT Biological and the market value on the current stock market,as well as whether it is worth investing by investors,needs to be explored and summarized.This paper introduces EVA model and B-S model to evaluate the value of biopharmaceutical companies,taking into account the potential investment opportunities and the value of flexible management possessed by biopharmaceutical companies.The whole paper is divided into five parts.The first part mainly introduces the research background,purpose,and significance,sorts out the research literature at home and abroad on the company value evaluation model,and expounds the research methods and ideas of this paper.The second part mainly to define the relevant theories and concepts and introduces the theory,calculation methods,and applicability of company value assessment.The third part is introduces the object of this study,namely,KT organisms.Company profile and business model,combined with thedevelopment of the internal and extra envrinment to illustrate the situation of the company.The fourth part expounds the limitations of traditional value evaluation methods,confirms the applicability of the selected combination method,and builds a value evaluation model.The fifth part uses the EVA model and the B-S model to evaluate the company’s existing asset value and potential value,and calculates the company’s overall value.Then,the calculation results are evaluated and compared to verify their effectiveness,and targeted recommendations are made on the evaluation results.The results of the study indicate that using EVA and B-S models to calculate the overall value of biopharmaceutical companies can reduce the deviation degree of the evaluation results and provide more objective and accurate reference for investors in the market compared to using EVA model alone to evaluate the company value.