Business Valuation of the Companies Listed on the Prague Stock Exchange and V4 Countries

The work primarily estimates the intrinsic value of the companies listed on the Prague Stock Exchange as an important price signals delivered in the stock market. Determining the estimated intrinsic value of the companies listed in the stock exchanges is essential evidence not just for mergers and acquisition, but also for banks, suppliers, customers, investors, shareholders and employees on the current and future outlook of the company. There are many unclear inputs standing on the general theoretical concepts and practical applications that lie within the valuation of publicly listed companies. The results of the study try to give small indications on an overall complex issue of the valuation process. The first aim of the work determines if the companies listed on the PSE (Prague Stock Exchange) might be undervalued or overvalued. The second aim of work indicates factors affecting deviation of the stock market prices from the intrinsic value to the market prices. The third aim of the work will define the risk level when Prague Stock Exchange join the other stock markets of the Visegrad countries. Results of the work confirm that average stock price of the Czech listed companies in 2017 deviate from their estimated intrinsic value in the range of 58% while international companies in the range of 301%. Moreover, from the 10 selected companies within the Prague Stock Exchange, average deviation within estimated intrinsic value and average market price was 180 % in 2017. The companies that had very low deviation within estimated intrinsic value and average market price in 2017, were: CEZ, Kofola Ceskoslovensko, Unipetrol Orlen Group, Moneta Bank and Stock Spirit PLC. Results of the third aim show that risk level of the PSE would have been 17.5% lower if it would operate under hypothetical Visegrad Stock Exchange. Moreover, the risk level of the PSE would have declined within the hypothetical Visegrad Stock Exchange from ?=1.28 to the ?=1.09. However, average risk level from 2009 till 2017 of the individual Visegrad stock exchanges, was as follows: Budapest Stock Exchange contained the lowest risk, followed by Prague Stock Exchange, Warsaw Stock Exchange and Bratislava Stock Exchange.

ISBN:	978-80-7454-842-0
EAN:	9788074548420
Počet stran	35 stran
Datum vydání	15. 07. 2019
Pořadí vydání	První
Jazyk	anglický
Vazba	e-kniha - pdf
Autor:	Florin Aliu
Nakladatelství	Univerzita Tomáše Bati ve Zlíně
Tématická skupina	999 - nezařazeno
	Neprodejná publikace. Publikaci je možné poptávat zde: Vydáno elektronicky - volně dostupné na http://hdl.handle.net/10563/43797