Periodic Enterprise Valuation

According to the latest government working report,our country is still in insist on structural reforms to boost the supply side as the main line,mainly in resolving excess capacity and improving the quality of supply from several aspects to promote the strategic adjustment of industrial structure and to achieve industrial upgrading.Periodic industries is basic industry which is mostly related to national economy and people's livelihood,and it is also key industries which is promoting adjustment of industrial structure.Therefore,how to value the periodic enterprise reasonable is very important.From periodic enterprise characteristics,this paper analyses applicability of absolute valuation method and relative valuation method in periodic enterprise valuation,and I think that a single method is unable to meet the needs of periodic enterprise valuation in a certain extent,so we can use absolute valuation method and the relative valuation method together to value periodic enterprise,so as to avoid inapplicability of sustainable growth model of absolute valuation method,also can choose reasonable assessment point to meet the requirements of the application of the relative valuation method.In practice,periodic enterprise valuation is divided into predictable period valuation and unpredictable period valuation.In predictable period,we can use absolute valuation method to value.In unpredictable period we can use multiple method to estimate,so it is a combination of the absolute valuation method and the relative valuation method,those can reduce the risk of uncertainty.Finally,taking Datong coal co.,LTD.as example,which is closely related to macroeconomic.Though analyzing the macroeconomic environment and industry environment and predicting development prospect forecast of Datong coal,first using enterprise free cash flow discount model to assess enterprise value in predictable period,and then using multiple method to estimate enterprise value in unpredictable period,trying to construct reasonable assessment for periodic enterprise valuation.