We identify four alternative performance metrics used in value based management (VBM). (1) Basic is an intrinsic value analysis (IVA), the discounted cash flow (DCF) methodology. (2) We show that this framework will be consistent with returns to shareholder (RTS, capital gains plus dividends)...

Over the past decade, consultants, the popular business press, a number of companies, and a few investment analysts have heralded Economic Value Added (EVA(R)). In theory, EVA is net operating profit after tax (NOPAT) less a capital charge for the invested capital (IC) employed in the business....