Investors and analysts classify firms to conduct valuations or to evaluate performance. The industry groupings usually rely on SIC, NAIC, GICS, or Fama-French classifications. Our purpose is to form groups of companies based on the structure of their financial statements. Using cluster analysis,...

We investigate the possibility that the diversification discount is due to differing growth opportunities between diversified and single-segment firms. We do this by comparing diversified business segments with individual single-segment same-industry firms of comparable growth opportunities....

Intro -- Equity Asset Valuation -- Contents -- Foreword -- Preface -- Acknowledgments -- About the CFA Institute Investment Series -- Chapter 1 Equity Valuation: Applications & Processes -- Learning Outcomes -- 1. Introduction -- 2. Value Definitions and Valuation Applications -- 2.1. What Is...