Enterprise Value Evaluation In Express Delivery Industry Based On REVA Model

In recent years,the fierce competition in domestic express industry and the rapid development of e-commerce have led to the rapid development of express industry.The rise of express industry has provided convenience for residents’ life.The enterprise value analysis of express industry has also attracted the attention of many investors.Because most of the express delivery enterprises in our country were private enterprises before,it is difficult to obtain data if we want to analyze the investment of enterprises.However,with the increasing competition,in order to expand the scale of operation and occupy the market share,the express industry has set off a wave of listing,and major express companies have listed one after another.This provides an opportunity for us to analyze and study the value of express delivery enterprises.After enterprises go public,they need to disclose accounting information,which provides data support for us to evaluate the value of enterprises.Express industry belongs to labor-intensive enterprises.Enterprises need to invest a lot of money in the early stage to purchase and build infrastructure.Moreover,the revenue of express industry mainly depends on delivery,freight logistics and other aspects.Therefore,the recovery period of funds is longer,it is difficult to have a large cash flow in the short term,and some even have a negative cash flow.However,the value of enterprises usually used is negative.The evaluation methods are based on the considerable cash flow of enterprises.Therefore,if this method is used to evaluate the express industry,it is easy to underestimate the value of the enterprise,which can not reflect the true value of the enterprise.Therefore,it is particularly important to explore a suitable value evaluation method for express industry.After reading the references and having a certain understanding of the REVA model,this paper decides to combine the REVA model with the express industry,so as to analyze the applicability of the REVA model.This paper first introduces the basic characteristics of the express industry and the limitations of traditional evaluation methods in evaluating the express industry.Then it introduces thetheoretical basis and model construction of RVEA model in detail.In case study,this paper chooses Shunfeng Holdings as the research object,evaluates the enterprise value of Shunfeng Holdings with EVA model and REVA model respectively.Finally,according to the evaluation results,we can see that the evaluation results of REVA model are closer to the market value of enterprises,and thus concludes the applicability of REVA model.