Some fundamental drivers such as market cap or Facebook enterprice value can be analyzed from historical prospective to project value of the company into the future. Some investors analyze Facebook valuation indicators such as Average Assets of 26.9 B or Earnings Before Interest Taxes and Depreciation Amortization EBITDA of 26.7 B to time the market or to short-sell their positions based on the trend in valuation ratios. It is a perfect tool to project the direction of Facebook future value. Financial Statement Analysis is much more than just reviewing and breaking down Facebook prevalent accounting reports in order to predict its past. Macroaxis encourages investors to analyze financial statement over time for various trends across multiple indicators and accounts to determine whether Facebook is a good buy for the upcoming year. Additionally see Investing Opportunities.
Enterprise ValueEnterprise Value (or EV) is usually referred to as Facebook theoretical takeover price. In the event of an acquisition, an acquirer would have to take on Facebook debt, but would also pocket its cash. Enterprise Value is more accurate representation of Facebook value than its market capitalization because it takes into account all of Facebook existing debt. Enterprise value is a measure of the value of a business as a whole; calculated as [MarketCap] plus [DebtUSD] minus [CashnEqUSD].
Free Cash FlowFree Cash Flow is a measure of financial performance calculated as Net Cash Flow from Operations minus [CapEx].
Market CapitalizationMarket capitalization (or market cap) is the total value of the shares outstanding of Facebook. It is equal to Facebook current share price times the number of Facebook outstanding shares. Represents the product of [SharesBas]; [Price] and [ShareFactor].