Application Research Of EVA Method In Internet Enterprise Value Assessment

Internet continuous merger,acquisition and reorganization of enterprises,financing,risk investment and other activities that investors investment idea transformation,valuation demand,at the same time,capital market and the rapid development of Internet industry,with comparable enterprise as the core of the relative valuation method and to predict the future cash flow as the core of absolute valuation method has brought the huge impact.Under this background,the domestic and foreign scholars have been trying to from the perspective of options,view the Internet as a call option,but in practice,many Internet companies stop profits balance before operation,and most Internet companies set up time is shorter,the valuation personnel of enterprise knowledge is not enough,less suitable comparable companies,sources of funds are mainly equity financing,valuation results based on the traditional valuation models and investors demand does not match the phenomenon occur frequently.At the same time,the lack of experience of the valuation team,the defects of accounting policies,the lack of relevant professional talents and other factors restrict the reasonable valuation of China's Internet enterprises.Improper evaluation of enterprise value directly affects the future development of Internet enterprises,so it is particularly necessary to build a value evaluation system exclusive to the Internet industry.Economic added value after hundreds of years of development,by contrast,has formed a mature theoretical system,it is in the process of enterprise valuation considers the equity capital,with the most Internet companies mainly rely on equity financing,and economic value added method think calculated based on the accrual basis of accounting profit,for the operating results of an enterprise real can't very good response,so it through research and development costs,marketing costs,goodwill,to adjust the deferred income tax accounting subjects,combining with historical financial data to predict the weighted average cost of capital and future revenue growth rate,increase the valuation result credibility,optimization of valuation methods,The enterprise value is considered from the perspective of capital cost and income,so that the investment return of angel investors can be clearly reflected.Eva f'ocuses on the future development of enterprises,and the valuation result can be more reasonable to evaluate the enterprise value.Based on the above,this paper first compares the advantages and disadvantages of common valuation methods and the characteristics and difficulties of Internet enterprises,and concludes that EVA valuation method is a better choice for the valuation of Internet enterprises.Finally,EVA model is used to evaluate the value of Internet enterprises.From the point of valuation result,a lot of spelling in January 1,2019 of market value of $26.688 billion,using EVA valuation valuation result for$27.0228 billion,EVA valuation results with market value is close to,proved that the EVA method for the feasibility and effectiveness of the Internet enterprise value assessment,and combined with the final result to improve EVA valuation model is put forward the following three Suggestions:first,to form a professional valuation team at the same time,strengthen the professional valuation personnel training;Second,strengthen the supervision of enterprises to promote enterprises to disclose more comprehensive and true financial data;Thirdly,considering both off-balance sheet factors and financial factors,and referring to the balanced scorecard principle,enterprise value is evaluated from multiple dimensions.