Question

1. What is the implied valuation? How was the valuation computed?

Swimming with the Sharks: Case Studies in Venture Capital Entrepreneurship by Ronald L. Moy St. Johns University

Answer 1

Valuation has basic aim of forecasting and assessing the value of the business assets and current operations. In calculating the implied valuation, the profit or net income will be divided from no. of shares registered with stock exchange.

Generally, it implies that how much money one can earn by owning a share of a particular company. It will be vary as per the types of stocks like large cap , mid cap or small cap stock listed in stock exchange.