Valuation: Measuring and Managing the Value of Companies(Wiley Professional Banking and Finance Series)

"This book on valuation represents fresh new thinking. The writing is clear and direct, combining the best academic principles with actual experience to arrive at value increasing solutions. " J. Fred Weston, Cordner Professor of Money and Financial Markets, Graduate School of Management, UCLA. "The book's clarity and comprehensive coverage make it one of the best practitioners' guides to valuation. " Financial Times In the global economy of the 1990s, investors move their money quickly and easily around the world in search of the greatest return. As such it's essential for today's business graduates to understand the importance of measuring, managing, and maximizing shareholder value. Valuation illustrates how to take advantage of the American tradition of maximizing shareholder value, demonstrates how value-based management contributes to improved strategic thinking, and shows how managers at any level can create value for their companies. In addition this book provides: A chapter featuring insights into the strategic advantages of value-based management. Strategies for multibusiness valuation, and valuation for corporate restructuring, mergers, and acquisitions. International comparisons of the cost of capital, differences in accounting procedures, and how valuation works in different countries. A detailed case study showing how valuation techniques and principles are applied.

Table of Contents:
COMPANY VALUE AND THE MANAGER'S MISSION. Why Value Value? The Value Manager. Cash Is King. Value-Based Management. CASH FLOW VALUATION: A PRACTITIONER'S GUIDE. Frameworks for Valuation. Analyzing Historical Performance. Forecasting Performance. Estimating the Cost of Capital. Estimating Continuing Value. Calculating and Interpreting Results. APPLYING VALUATION. Multibusiness Valuation. Valuing Foreign Subsidiaries. Valuation Outside of the United States. Mergers, Acquisitions, and Joint Ventures. Using Option Pricing Methods to Value Flexibility. Valuing Banks. Appendices. Index.

About the Author :
TOM COPELAND is a partner in the New York office of McKinsey & Co., Inc., and a co-leader of the firm's corporate finance practice. He is coauthor with J. Fred Weston of Financial Theory and Corporate Policy and Managerial Finance. He received his Ph.D. in applied economics from the University of Pennsylvania. TIM KOLLER is a partner at McKinsey & Co., Inc., and a co-leader of the firm's corporate finance practice. He was formerly a vice president at Stern Stewart & Co., and a senior financial analyst with Mobil Corporation. He received his MBA from the University of Chicago. JACK MURRIN, a former partner and leader of the corporate finance practice at McKinsey's New York Office, is Senior Vice President, Travelers, Inc., in New York. He is a Certified Public Accountant and was previously with Arthur Andersen & Co. He received his MBA from Stanford University.