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An Overview of Financial Information

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Corporate Valuation

Part of the book series: Classroom Companion: Business ((CCB))

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Abstract

Financial information is essential for several corporate aspects like performance analysis and decision-making. In addition, it is a source of vital inputs required in all valuation models. For instance, some valuation models utilize free cash flows to estimate the intrinsic value. Likewise, relative valuation models utilize financial metrics like earnings, book value of equity, dividends, and so on. Therefore, knowledge about financial information and its application in valuation is essential for any valuation expert. Indeed, each component of financial information conveys a message about the condition of a firm such as its financial strength, risks taken, growth prospects, and so on.

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Correspondence to Benedicto Kulwizira Lukanima .

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Kulwizira Lukanima, B. (2023). An Overview of Financial Information. In: Corporate Valuation. Classroom Companion: Business. Springer, Cham. https://doi.org/10.1007/978-3-031-28267-6_5

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