Research On Value Evaluation Of Environmental Protection Enterprises Based On Income Approach-Option Pricing Method

In recent years,the number of mergers and acquisitions of environmental protection enterprises has increased significantly.Environmental protection stocks have become an important object of concern for investors in the stock market.No matter the occurrence of mergers and acquisitions in the field of environmental protection industry or the general investors' attention to environmental protection stocks in the stock market,they must take the valuation of environmental protection enterprises as the starting point for consideration.The development of environmental protection industry is not only an important development strategy of environmental protection and ecological balance,but also an important strategic measure to realize sustainable development of mankind.Therefore it is significance to study listed companies in the environmental protection industry to promote the development of various undertakings in China.It is particularly important to evaluate the intrinsic value of environmental protection enterprises fairly and reasonably and show their development potential.In this paper,with the support of asset appraisal theory,the value of enterprise appraisal theory,the evaluation object's own conditions and the basic evaluation framework theory of The environmental protection industry,we should realize the importance of the main evaluation purpose,evaluation base date,evaluation method and other elements of this paper.Through the case study,combined with the characteristics of environmental protection enterprises,we used the method of discounted cash flow and option pricing to evaluate water source of the company's value.By comparing the evaluated price and market price of Origin Water company,we found that the errors of them are very small.So this method is suitable for environmental assessment of enterprise value.Finally,the overall value of Origin Water company is overestimated.According to analysis of Origin Water,it is found that the potential value of Origin Water accounts for a large proportion of the value of the enterprise.It is indicating that the development momentum of environmental protection enterprises is very sufficient and the development of new projects is very novel.Personally speaking,the development direction of environmental protection enterprises should also focus on the development of new projects to increase the profit growth point in the future.For evaluating the value of Origin Water,it can explain people full of confidence and can create greater profits.It proves that people are full of confidence to the development of environmental protection enterprises and result in the difference of the value of Origin Water and the value of stock market.Based on the study of evaluation and previous scholars,this paper explores a method suitable for the value assessment of environmental protection enterprises,hoping to play a certain role in the value assessment of environmental protection enterprises.It is believed that this method can also provide some reference and guidance for the practical work of enterprise assessment in other industries.