The Research On Evaluation Of C&S Paper Company Based On The Free Cash Flow Discount Model

With the maturation of China’s property market, the enterprise value theory is graduallyintroduced into China. Followed with quick development of corporate restructuring, thetransfer of property rights, credit and disposal and foreign investment, how to assess the valueof the target company’s reasonably begin to be more and more important.At present, concentration ratio of China’s paper industry is in the process of continuousimprovement. Leading enterprises will play the role of integration with their own advantages.Followed with quick development of the equity transactions, venture capital and otherproperty rights trading activities in the household paper industry, the enterprise valuation canbe used as basis of the transactions of property rights, and be used as management basis forinvestment decision-making and strategic analysis.I adopt the method of case study and take use of the qualitative and quantitative analysistool to evaluate the value of C&S. The first part of this paper the background, objective andmeanings of the research, related research of domestic and foreign and the content andmethods of the research; the second part of this paper presents fundamental methods ofvaluing a company and the methods used in this paper.; the third part analyzes thedevelopment status and trends of household paper industry and the impact of C&S; the fourthpart analysis the business and financial position of C&S in detail; finally, I uses the Free CashFlow Discount Model and P/E method to assess the value of C&S, and make a reasonablevaluation for small and medium-sized investors with investment advice and reference.