Business valuation approaches and a practice with telecommumication index of BIST

Businesses which are keystones of the economy are set up for two main objectives; gain profit and maintain position in the market. However, it is becoming more important to keep and increase their assets while they are optimizing their profit for businesses in recent years. These developments increased importance of valuation of businesses in the market. When we review valuation approaches, it is clearly seen that valuation activities consist of forecasts and calculations. Although valuation approaches don't change too much, valuation results are variable according to valuation experts' skills, experience and knowledge. In this respect, it can be said valuation results are subjective. The most important thing in valuation is performing valuation accordance with general principles and methods of valuation to achieve successful results. In this study, a case study is performed with companies in telecommunication sector in BIST and performed valuation for these companies. Comparisons and analysis are made and differences are presented between all valuation approaches which are Valuation Approach Based on Asset, Valuation Approach Based on Income and Valuation Approach Based on Market.