How Much Is NBC Worth? Part II

A couple of years ago I asked “How much is NBC worth?”

Bear in mind, this was before the media market meltdown, before online began to eat away at TV’s might, but nonetheless, my valuation pegged NBC at $32 billion.

Now the rumor is that Comcast bought NBC for $35 billion.

Not bad.

Comments

[nmittal:]

I have read your articles in the past, and have enjoyed some interesting ideas articulated. I believe your table is using incorrect metrics as all of the media firms listed are not solely capitalized by equity. So, using market cap to sales or EBITDA valuation multiples are inappropriate. The total enterprise value needs to be reflected, incorporating debt and preferred, if applicable. Those multiples should be substantially higher.

Oct 02 12:56 PM

[Ashkan Karb...:]

You raise a great point. I had done a similar exercise with enterprise value but not here. My apologies.

On Oct 02 12:56 PM nmittal wrote:

> I have read your articles in the past, and have enjoyed some interesting
> ideas articulated. I believe your table is using incorrect metrics
> as all of the media firms listed are not solely capitalized by equity.
> So, using market cap to sales or EBITDA valuation multiples are inappropriate.
> The total enterprise value needs to be reflected, incorporating debt
> and preferred, if applicable. Those multiples should be substantially
> higher.

Oct 07 10:09 PM