Module 7 valuation using residual enterprise income
Sponsored Links
This presentation is the property of its rightful owner.
1 / 10

Module 7 : Valuation Using Residual Enterprise Income PowerPoint PPT Presentation


  • 102 Views
  • Uploaded on
  • Presentation posted in: General

Module 7 : Valuation Using Residual Enterprise Income. Mairin Talerico. Snapshot of Toyota. Limited liability, joint-stock company incorporated under Commercial Code of Japan; started in 1930s Primarily in automotive industry, but also financial services and others

Download Presentation

Module 7 : Valuation Using Residual Enterprise Income

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -

Presentation Transcript


Module 7: Valuation Using Residual Enterprise Income

Mairin Talerico


Snapshot of Toyota

Limited liability, joint-stock company incorporated under Commercial Code of Japan; started in 1930s

Primarily in automotive industry, but also financial services and others

Sold 9.98 million vehicles in fiscal 2013

Sell in 170 different countries and regions

Primary markets: Japan, North

America, Europe and Asia


Auto Manufacturing – At a Glance

TM

F

GM


SWOT Analysis

Strengths

Opportunities

Research and Development initiatives

A leader in green cars development

Selling in Japan and North American markets

Geographically expansive manufacturing locations

Toyota Motor Credit Credit Corporation [49% US Sales had financing]

Develop environmentally friendly vehicles and technologies

Safe vehicles

Ability to increase market share in growing economies and markets

Sustainable growth and optimal supply of products globally

Finance more cars and increase profits

Growth through acquisitions


SWOT Analysis Cont.

Weaknesses

Threats

Product recalls

Always staying abreast of new technology and financial offerings

Abiding by all gov’t regulations and legal proceedings

Declining sales in Europe

51% US Sales don’t have financing

Weak presence in emerging markets

Brand reputation

Worldwide auto market is highly competitive, volatile + Financial services industry

Decrease profit

Risk losing a major market for sales

Highly competitive financial services industry


Used Bloomberg’s WACC


Residual Enterprise Income Model


Discounted Cash Flow Model


Enterprise Value Comparison

  • My calculated Enterprise Value is similar to Yahoo! Finance’s EV.

    • $342,373 billion vs $349,460 billion


Questions?


  • Login