Valuation Disparities Among Nordic Consumer Companies An Investigation of Why Outliers Differ From the Trend Line

Abstract

This master’s thesis aims to investigate the factors that drive firm value for Nordic con- sumer businesses. Understanding the determinants of firm value is crucial for investors, financial analysts and policymakers seeking to make informed decisions and effectively allocate resources. The study employs a comprehensive research framework that inte- grates both financial and non-financial factors. A mixed-methods approach is utilised, combining quantitative analysis of financial data with qualitative analysis of variables potentially affecting firm value. The findings of this research contribute to the existing literature by identifying the key factors that significantly influence firm value. The results shed light on eleven aspects including financials, price increases, cost savings, ESG, con- sumer confidence, ownership, M&A, capital structure, brand awareness, competition and share buy-back programmes. The implications of this study extend beyond the academic realm. The identification of critical drivers of firm value helps professional and non- professional investors identify and evaluate potential investment opportunities, although the findings of this study should not be used as any kind of investment advice.