Is market value of equity the same as enterprise value?
Is market value of equity the same as enterprise value? Equity value constitutes the value of the company's shares and loans that the shareholders have made available to the business. Equity value uses the same calculation as enterprise value but adds in the value of stock options, convertible securities, and other potential assets or liabilities for the company. What multiples do you use for enterprise value vs equity value? Equity value of the company is of two types: market equity value which is the total number of shares multiplied by market share price and the book equity which is the...