Enterprise Value Evaluation From The Perspective Of Real Options

The modern finance theory is based on the neoclassical economic theory, and the static equilibrium pricing model in the perfect competition market is the basic framework of financial valuation. Western researchers have conducted two points of financial entities, namely investors and operators. Through both the capital market, and the capital market and product market, equilibrium pricing of achieving the maximization of resource allocation can achieve the maximization of enterprise value. The modern financial theory requires static and reversible investment environment.The essencial characteristics of the investment behavior of modern enterprises: the non reversibility of investment; the delay of investment; the uncertainty of investment. Investment is nonreversible, so any investment that can be postponed will face a choice, that is, the income of unfavorable conditions will be endowed with give-up right rather than obligations. The cost of this right is merely the initial investment cost. Therefore, the investment will have real optional characteristics. This initial cost is greatly affected by the uncertainty of the future. In addition, the general approach to the adjustment of the uncertainty of the traditional cash flow method is to adjust the discount rate through the capital asset pricing model. This is likely to exaggerate the long-term discount rate of the enterprise, and thus underestimating the value of the enterprise.This paper attempts to consider three remarkable characteristics of enterprise investment, real option method combined with basic model correction and improvement of traditional enterprise value assessment. Through qualitative and quantitative research methods analysis, characteristics of corporate investment on the enterprise value influence,findings are as follows: real economic value and potential economic value.the real economic value from DCF methods constitute the value of the enterprise;potential economic value is determined by the real option value of investment opportunities decided;Dfferent from the traditional point of view,it is through the model analysis, such as uncertainty, that income itself also has two aspects, namely, revenue increasing the value of economic reality, but reducing the potential economic value. The uncertainty increases the value of potential economy and reduces the real economic value. Therefore, in value assessment, the impact of uncertainty is sometimes more important than interest rates. This explains why high risk firms are still likely to have higher stock prices.The rationality of the Internet companies meeting the three characteristics of modern enterprises lies in investing, so finally Internet enterprises advocate the case analysis,.Through modifications in the basic model, it explains Internet companies "high price, high P / E ratio" mystery, and tests the model.