COMPANY EVALUATION BY FIRM VALUE/EBITDA METHOD AND AN REVIEW OF THE BIST TOURISM INDEX

Abstract

Various methods can be used in firm valuation, and the Firm Valuation (FV)/EBITDA multiplier has an important place among these methods. The importance of firm valuation increases with the increase in investments made in companies in international markets. This study, it is aimed to evaluate 9 of the companies traded in the BIST Tourism Index with the FV/EBITDA multiplier. Based on the calculated company values, the equity market value and the per-share prices of the companies were calculated. Considering the findings, it was concluded that the multiplier analysis methods alone are not sufficient to determine the firm's value, and it would be beneficial to use income-based methods that take into account the future cash flows of the company