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Estimating Beta For A Private Firm: The BARILLA Case
Teaching case study

Estimating Beta For A Private Firm: The BARILLA Case

Antonio Salvi and Maurizio Dallocchio
ECCH
01/12/2009

Abstract

The objective of this case is to discuss the rationale and the mechanics of the process that analysts should follow when estimating the beta for a private firm. We apply the bottom-up approach and we show the different results that could be obtained by using different inputs in the analysis. We also focus attention on the competitive environment in which the company operates and how it can affect the overall estimate of the firm's beta.

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