Improvement And Application Of Market Valuation Method For Semiconductor Enterprise Valuation

The semiconductor industry is a digital economy,and the level of development is the key to the national strength of the technology industry.According to the "Made in China 2025" action plan issued by the State Council,vigorously developing the semiconductor industry has become a national-level strategic goal.At present,although China’s semiconductor industry is facing the dual challenges of technology and international politics,the rapid growth of the domestic market provides important opportunities for the upgrading and optimization of China’s semiconductor industry structure.Since 2016,China’s semiconductor industry has entered a period of rapid development,and more and more semiconductor companies are active in the capital market,bringing huge business needs to the evaluation industry.Therefore,it is of practical significance to explore and study the value evaluation of semiconductor companies.In addition,due to the characteristics of large capital investment,rapid technological change,and large space for localization substitution of semiconductor companies,the evaluation results of the cost method based on book cost and the income method based on future earnings are often very different.It is difficult to achieve mutual validation between the two methods,and there is an urgent need to apply other evaluation methods.With the continuous improvement of China’s capital market,the information disclosure system and capital operation mode have both entered a relatively mature stage,and the advantages of market law such as strong persuasiveness and convenient use are becoming increasingly evident.Therefore,by analyzing the application status and difficulties of the market method,this thesis improves and applies the market method to evaluate the value of semiconductor enterprises.Firstly,this thesis introduces the overview and domestic development status of the semiconductor industry,and establishes a comparable index and value multiplier system with the characteristics of the semiconductor industry according to the characteristics of the semiconductor industry.Secondly,the entropy weight method is used to give weight to the comparable index,TOPSIS(Superior and Inferior Solution Distance Method)is introduced to calculate the closeness between the sample company and the target company,and the top three sample companies in the degree of closeness are selected as comparable companies,and the three selected comparable companies are weighted based on the closeness of the calculation results.The multiplier of the ratio of values with the highest result in the coefficients table for each key component shall then be selected as the multiplier of the ratio of values used using the principal component analysis method.Finally,this thesis applies the improved market method to the case of Rockchip enterprise value evaluation.In the process of case study,the market method and income method FCFF model before and after improvement are used to evaluate the enterprise value of Rockchip on the evaluation base date,and then the evaluation results of the three methods are compared and analyzed.The evaluation results show that the valuation results under the traditional market method are quite different from the actual value of the enterprise.The improved market method valuation results are closest to the actual value of the enterprise,indicating that the improvement of the market method in this thesis can improve the accuracy of valuation.In addition,the difference rate of the improved market method and the income method valuation results is within a reasonable range,and the two can play a role in mutual verification,further indicating that this thesis is feasible and reasonable for the selection of comparable companies and value multipliers.