Comparative Study On The Evaluation Method Of EVA And REVA Based On Enterprise Value

Since the reform and opening up, China’s rapid economic development, and has become one of the important subjects in the world economy. While the securities market as an important part of modern market economy, with the rapid development of economy, in the international economic system has an irreplaceable position. And the value of the enterprise as a fair reflect the intrinsic value of the enterprise, in the case of the securities market effective enterprise’s value will be reflected in the shares of companies, but because our country securities market is still a not enough mature and perfect and effective market,there are a large number of stock price and its intrinsic value deviation phenomenon,therefore, constantly to enrich and improve our country’s enterprise value assessment theory is particularly important.Under such background, the added value of EVA, REVA theory by comparison and analysis of two kinds of economy, the purpose is to study two kinds of economic value added theory ’s applicability in China, so as to explore a new method to evaluate the adaptation to the present situation of our country’s enterprise value, but also provide reliable reference value for the enterprise operators and investors, making the dealer to make more scientific and reasonable decision, forcing investors to follow the principle of value investment, so as to further perfect our country’s securities market and effective,more objective and fair to reflect the intrinsic value of the enterprise.This article research mentality is: first, summarized and analyzed the relevant research literature domestic and abroad; secondly, the basic theory and calculation method of EVA,REVA were compared in theory, and based on the theory of EVA, the two kinds of EVA,REVA value assessment model were set up. Finally, selected China’s Shanghai stock market 50 medicine listing Corporation as the sample, test the correlation of EVA, REVA value between the market value, thus comparing the EVA, REVA theory in the application effectiveness of China’s pharmaceutical industry, beside this, EVA, REVA value assessment model were used to assess the value of Shanghai Pharmaceutical Ltd, further verified the two kinds of value evaluation model in our country’s effectiveness.The results of the study show that, whether it is the theory of comparative and empirical comparison,EVA is showed higher correlation compared with REVA, namely the EVA evaluation method is more effective and more suitable for China’s current market conditions.