Strike Price
What is the Strike Price? The strike price is the price at which the holder of the option can exercise the option to buy or sell an underlying security, depending on whether they hold a call option or put option. An option is a contract where the option buyer purchases the right to exercise the...
Enterprise Value to Revenue Multiple
What is the Enterprise Value to Revenue Multiple? The Enterprise Value to Revenue Multiple is a valuation metric used to value a business by dividing its enterprise value (equity plus debt minus cash) by its annual revenue. The EV to revenue multiple is commonly used for early-stage or high-growth businesses that don’t have positive earnings...
CFD Trading
What is CFD Trading? CFD (Contracts for Difference) trading is increasingly popular with experienced investors, but anyone can try it. Most online trading platforms offer contracts for difference trading to their customers. It is a potentially high-risk trading strategy, but as long as you understand how CFD trading works, you can minimize your risk exposure....
Tear Sheet
What is a Tear Sheet? In the world of finance, a tear sheet provides a one-page summary of the company with information such as Market Price, 52-week High and Low, Market Capitalization, Enterprise Value, Analyst Recommendation, Revenue, EBITDA, Valuation, Workforce Size, Share Price Movement, etc. Tear sheets are also known as “Fact Sheets” and help...
Trading Multiples
What are Trading Multiples? Trading Multiples are a type of financial metrics used in the valuation of a company. When valuing a company, everyone relies on the most popular method of valuation, i.e. Discounted Cash Flow (DCF), but it becomes imperative for buyers and bankers to look how the market perceives a particular stock in...
