Musings on Markets

FEBRUARY 10, 2021

What is a hurdle rate for a business? In this post, I will start by looking at the role that hurdle rates play in running a business, with the consequences of setting them too high or too low, and then look at the fundamentals that should cause hurdle rates to vary across companies. What is a hurdle rate?

Hurdle Rate 52

Hurdle Rate Currencies Investments Valuation 52

CFO News Room

JANUARY 7, 2023

When valuing or analyzing a company, I find myself looking for and using macro data (risk premiums, default spreads, tax rates) and industry-level data on profitability, risk and leverage. Thus, market capitalization, interest rates and risk premiums, the data is as of that date.

Marketing 130

Marketing Valuation Corporate Finance Financial Analysis 130

Musings on Markets

JANUARY 6, 2023

When valuing or analyzing a company, I find myself looking for and using macro data (risk premiums, default spreads, tax rates) and industry-level data on profitability, risk and leverage. EV/Sales and Price/Sales 5. Per-employee Statistics Profitability Financial Leverage Reinvestment 1. Cost of Capital 3.

Valuation 52

Valuation Corporate Finance Financial Analysis Leverage 52

CFO News Room

NOVEMBER 8, 2022

You do the math and you’re like, “Okay, well, an advisor can handle about 100 clients, an associate advisor can help with some of those clients, you can leverage maybe an associate advisor with a couple of advisors, but there’s a capacity limit for each of the roles.”

Restructuring 130

Restructuring Planning Accounting Marketing 130