Try the new FT.com

August 28, 2014 1:21 pm

Alibaba valuation calculator

  • Share
  • Print
  • Clip
  • Gift Article
  • Comments

Alibaba’s upcoming listing on the New York Stock Exchange could be the biggest IPO ever. The Chinese e-commerce company has valued itself at $130bn but some analysts say the company is worth as much as $220bn. How much do you think Alibaba is worth?

Enter your projections for Alibaba’s sales growth, profitability, capital expenditures, terminal growth rate and cost of capital in our IPO calculator below to see how key assumptions affect Alibaba’s potential market value. You can then share your valuation with others by clicking the “Tweet your result” button.

Look at page 85 in the IPO prospectus, which shows Alibaba’s historical financial results, to help guide your selection of inputs.

This interactive calculator uses a basic two-step discounted cash flow model to help illustrate how variations in key assumptions can change the potential market value and share price of Alibaba. It is not an accurate valuation tool.

The calculation assumes that Alibaba will be paying around 12 per cent tax every year on its earnings.

Copyright The Financial Times Limited 2017. You may share using our article tools. Please don't cut articles from FT.com and redistribute by email or post to the web.

  • Share
  • Print
  • Clip
  • Gift Article
  • Comments
SHARE THIS QUOTE