Roper Industries Inc.

IÉSEG School of Management Firm paygrade| rope-maker Industries Inc.| (NYSE:ROP) Technical Report| | This manage represent an attempt at evaluating the value of the firm Roper Industries Inc. As many stocks bring experienced important market corrections during this past few months, well reckon the true value of the firm by particularise its main constituents. It is important to keep in mind that this range is conducted in November 2009, where there is still many troubled indicators in the market following the turmoil that we knew last year. The current evaluation might then be very temporary as well as the assumptions make in the document. This document orchestrate the assumptions made while building the excel spreadsheet ROP - Spreadsheet.xlsx, and this file should be read with the current document to understand the different computations. The strive allow then conclude by an analysis of the results. evaluation Technique The valuation te chnique used in this exercise is the Discounted exchange Flow (DCF). This technique leave alone place us an estimate of the true value of Roper Industries establish on the rising cash flows of the company and a uniform equal of chapiter.

As we face a firm founded in the late 1800s, listed on the New York Stock Exchange since 1992 and with relatively stable results during the front exercises, the method should generate proper valuation in regards of the assumptions made to estimate the different parameters presented here. Cost of capital As Roper Industries uses a mix of equity and debt to finance its acitiv ities, the cost of capital will be calculate! d as a weighted intermediate of the various sources of funding. No cost of preferred stock will be calculated as it is not used by the firm. Risk- chuck up the quick study rate The first element that we need to evaluate in order to calculate the cost of capital is the risk secrete rate. To do so, well need a rate representative of the tweet executive of the firm to reinvest at this rate in the future....If you emergency to encounter a full essay, order it on our website: OrderCustomPaper.com

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