In this paper, please discuss the major methods of company valuation that we have studied. In doing so, explain each method and compare their advantages and disadvantages with the other methods you choose to discuss. Support your discussion with references.Papers will be assessed on the following criteria:Explain the market capitalization.Explain the book value.Explain (expected) future earnings.Provide narrative on other methods (minimum of two).Compare market capitalization, book value, and future earnings methods (and your other chosen methods) with each other to include their advantages and disadvantages.

The valuation of a company is a complex process that involves a variety of methods. In this paper, we will discuss four major methods: Market Capitalization, Book Value, Future Earnings, and two additional methods.

1. Market Capitalization: This is the most straightforward method of company valuation. It is calculated by multiplying the company's share price by its total number of outstanding shares. This method is based on the idea that the market price of a company's shares reflects its true value. However, it is heavily influenced by market sentiments and may not accurately represent the company's intrinsic value (Investopedia, 2020).

2. Book Value: This method involves calculating the difference between a company's total assets and total liabilities. This is also known as the company's net asset value. The advantage of this method is that it is based on concrete, quantifiable data. However, it does not take into account intangible assets like brand value, which can be a significant part of a company's worth (Investopedia, 2020).

3. Future Earnings: This method involves forecasting the company's future earnings and then discounting them to present value. This method is more forward-looking than the previous two, as it takes into account the company's growth potential. However, it is also more speculative and depends heavily on the accuracy of the earnings forecast (Investopedia, 2020).

4. Other Methods: Two other commonly used methods are the Price/Earnings (P/E) ratio and the Dividend Discount Model (DDM). The P/E ratio compares a company's market value per share with its earnings per share. The DDM, on the other hand, values a company based on its future dividend payments, discounted to their present value. Both methods have their own advantages and disadvantages, depending on the specific circumstances of the company being valued (Investopedia, 2020).

In comparison, Market Capitalization and Book Value are relatively simple and straightforward, but they may not accurately reflect a company's future growth potential. Future Earnings, P/E ratio, and DDM are more forward-looking and take into account the company's growth potential, but they are also more speculative and depend heavily on the accuracy of the forecasts used.

References: Investopedia. (2020). 5 Ways to Value a Stock. Retrieved from https://www.investopedia.com/articles/investing/102314/top-5-ways-value-stock.asp