Research On Valuation Methods Of Internet Com Pany

The development of China's Internet has been deeply integrated into economic life and social life in recent years.According to the 2017"Statistical Report on the Development of China's Internet Network" and the authoritative report published by the China Institute of Information and Communications,China has a population of 731 million netizens and a scale of 27.2 trillion yuan in digital economy which indicates that the Internet is becoming "the middle of a whirlwind" for China's economy.In the future,with the maturity of concepts such as big data,cloud computing,and the Internet of Things,with the gradual arrival of "5G",the Internet will usher in another wave of rapid development.The vigorous and vigorous Internet industry has not only absorbed a large number of talents,but also attracted the attention of domestic and foreign investors.Internet companies have become one of the hot spots for market investors to pursue,and the attention of capital markets to Internet companies has become increasingly close.Along with the trend,Internet companies are increasingly active in the capital market.As of the end of December 201 7,the number of listed Internet companies in China and abroad reached 102,with an overall market value of 8.97 trillion yuan.The attention of the capital market to Internet companies and the attention of investors from various countries to Internet stocks have made the valuation of Internet companies a lot of scholars' attention.More and more Internet companies are choosing to go public,or mergers and acquisitions.How to value Internet companies has become an important and urgent issue.This paper attempts to introduce some fresh ideas and innovative thinking to explore the construction of a reasonable and effective valuation method for Chinese Internet companies.This paper first analyzes the background and current situation of domestic Internet enterprise development,and sorts out the political and economic environment behind the valuation.Secondly,this paper starts with the evolution of valuation theory and discusses several commonly used traditional valuation methods.And master the valuation theory,and finally analyze a method suitable for the valuation of Internet companies with DEA.In the valuation module,this paper adopts the method of combining data envelopment analysis and relative valuation method,and selects the valuation indicators applicable to Internet companies such as market-to-sales ratio,market gross rate and city user rate for valuation.Twelve valuation results were verified for accuracy.Finally,this paper explains the academic and practical significance of different valuation results,and points out the research limitations and future research prospects of this paper,in order to provide a certain reference value for the valuation of Chinese Internet companies.