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Bridge over ocean
1 July 2002 Research Foundation

Real Options and Investment Valuation

Making an accurate company valuation is the cornerstone of making a sound investment decision. But one factor that is often overlooked (and sometimes even overvalued) is the real options that a company may have.

Don M. Chance and Pamela P. Peterson

Real Options and Investment Valuation View the full book (PDF)

Making an accurate company valuation is the cornerstone of making a sound investment decision. But one factor that is often overlooked (and sometimes even overvalued) is the real options that a company may have. In this Research Foundation monograph, the authors explore real-options valuation—looking at these models vis-à-vis traditional valuation models, providing examples and simple case studies, and examining the criticisms and limitations of real-options valuation.