debt-to-equity ratio is 0.5の場合は
MVCE/(MVD+MVCE)＝1.0/(0.5+1.0)になることに注意（ミスに注意）
Sum-of-the-parts analysis is most useful when valuing a company with segments in different industries that have different valuation characteristics.
Ibbotson–Chen earnings model
Equity risk premium={[(1+EINFL)(1+EGREPS)(1+EGPE)− 1.0]+EINC} −Expected risk-free return
EINFL = 4% per year (long-term forecast of inflation)
EGREPS = 5% per year (growth in real earnings)
EGPE = 1% per year (growth in market P/E)
EINC = 1% per year (dividend yield or the income portion)
Risk-free return = 7% per year (for 10-year maturities)
Total return = Dividend yield + Capital gains yield (i.e., constant growth rate).
P0/E1 = [1/r] + [PVGO/E1],
Market value added = Market value of capital − Total capital
FCFE = NI – Net capital expenditure – WCInv + New debt financing
The major concepts are as follows:
- EPS plus per-share depreciation, amortization, and depletion (CF)
Limitation: Ignores changes in working capital and noncash revenue; not a free cash flow concept.
- Cash flow from operations (CFO)
Limitation: Not a free cash flow concept, so not directly linked to theory.
- Free cash flow to equity (FCFE)
Limitation: Often more variable and more frequently negative than other cash flow concepts.
- Earnings before interest, taxes, depreciation, and amortization (EBITDA)
Limitation: Ignores changes in working capital and noncash revenue; not a free cash flow concept. Relative to its use in P/EBITDA, EBITDA is mismatched with the numerator because it is a pre-interest concept.
