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CAN YOU DO A VALUATION ESTIMATE FOR BAXTER INTERNATIONAL. Our group's deliverable analysis for Week 5 will display a brief set of calculations, accompanied by

CAN YOU DO A VALUATION ESTIMATE FOR BAXTER INTERNATIONAL.

Our group's deliverable analysis for Week 5 will display a brief set of calculations, accompanied by supporting explanations, for a valuation estimate of the target company (acquiree) for the proposed acquisition. This is a key consideration for a CFO and the other senior managers of the parent organization considering the potential acquisition of the target company. You may recall from your earlier coursework that there are various methods for estimating the value of a company. You might also be aware that there are people in the industry who spend years acquiring the depth of experience for making solid estimates of the value of a business. 

Of course, your group will not have much time to complete this task, so you'll need to rapidly research the financial data for your acquisition target (along with other available industry information that may be relevant) to make some quick, rough-order-of-magnitude calculations applying the most suitable and workable method(s) for estimating valuation of the target company you seek to acquire. Along with documenting the valuation method(s) you applied to obtain your estimate, be sure to explain what you believe the parent company should be willing to offer in consideration for the target company. You may also want to further discuss how the target company might provide value through additional synergies and opportunities to the parent company. For your researched and calculated valuation estimate, remember to include an explanation and justification of all input values and applied parameters that you used. 

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Solution First lets start with a brief overview of Baxter Internationals financial performance According to Yahoo Finance Baxters latest annual revenue is 1274 billion with a net income of 187 billion ... blur-text-image

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