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2016 Duff & Phelps Valuation Handbook—Industry Cost of Capital


Valuation Handbook—Industry Cost of Capital

 2016 Duff & Phelps Valuation Handbook—Industry Cost of Capital
This publication will provide the same rigorous industry-level analysis previously published in the green-cover Morningstar/Ibbotson Cost of Capital Yearbook. New and noteworthy will be the inclusion of additional methods to calculate cost of equity capital and extra statistics, which will enable a more robust benchmarking analysis when developing industry cost of capital estimates.
Item Number: DB-DPICOC-16
Shipping Weight: 3lbs. 0oz.
Price: $485.00
Purchase Options:
The 2016 Valuation Handbook—Industry Cost of Capital includes cost of capital estimates (equity capital, debt capital, and WACC) for over 200 U.S. industries, plus a host of detailed statistics that can be used for benchmarking purposes.

The 2016 Valuation Handbook—Industry Cost of Capital is an excellent way of supporting and augmenting the financial analyst’s own custom analysis of the industry in which the subject business, business ownership interest, security, or intangible asset resides.

Like the (now discontinued) Morningstar/Ibbotson Cost of Capital Yearbook, the new 2016 Valuation Handbook—Industry Cost of Capital is published with data through March 2016, and will include three intra-year Quarterly Updates (June, September, and December).

The 2016 Valuation Handbook—Industry Cost of Capital provides eight (8) cost of equity capital estimates for each of the industries covered in the book:

1. Capital Asset Pricing Model (CAPM)
2. CAPM + Size Premium (using the CRSP Decile Size Study)
3. Build-up + Industry Risk Premium (using the CRSP Decile Size Study)
4. CAPM + Size Premium (using the Risk Premium Report Study)
5. Build-up + Risk Premium Over the Risk-free Rate (using the Industry Risk Premium adjustments)
6. 1-Stage Discounted Cash Flow (DCF) model
7. 3-Stage DCF model
8. Fama-French 3-Factor Model (F-F)

Cost of debt capital and weighted average cost of capital (WACC) are also presented for each industry. The new publication also provides detailed statistics (some of which were previously unavailable) for sales, market capitalization, capital structure, various levered and unlevered beta estimates (e.g., ordinary least squares (OLS) beta, sumbeta, downside beta, etc.), valuation (trading) multiples, financial and profitability ratios, equity returns, aggregate forward-looking EPS growth rates, and more.

In 2016, Duff & Phelps added a new Appendix C, the van Binsbergen-Graham-Yang Optimal Capital Structure Model, based upon the works of Jules H. van Binsbergen, associate professor of finance, The Wharton School, University of Pennsylvania; John R. Graham, professor of finance, Fuqua School of Business, Duke University; and Jie Yang, assistant professor of finance, McDonough School of Business, Georgetown University. This new appendix provides estimates of: 1) the optimal amount of debt that firms should use as a percentage of their total capital; and 2) the incremental firm value potentially created by choosing an optimal capital structure (rather than using no debt at all).

Pricing:
$485.00 Book
$835.00 Book and Quarterly Updates