Market Valuation
Market valuation refers to the process of determining the current worth of an asset, company, or market based on various factors such as supply and demand, financial performance, and market conditions. It helps investors and stakeholders understand how much an asset is likely to sell for in the open market.
Common methods of market valuation include the Discounted Cash Flow (DCF) analysis, which estimates future cash flows, and the Comparable Company Analysis, which compares similar companies to gauge value. Accurate market valuation is essential for making informed investment decisions and assessing the financial health of a business.