This case serves as an introduction to the concept of Economic Value Added (EVA). The student is in the position of Valmont CFO able to decide whether EVA can live to motivate up to its promise to managers as shareholders and ultimately lead them to value-enhancing decisions that the weak earnings and can reverse stock-price performance Valmont lackluster. The case works best if the students are familiar with the concepts of capital costs and present value. The teaching note th … Read more »

This case serves as an introduction to the concept of Economic Value Added (EVA). The student is in the position of Valmont CFO able to decide whether EVA can live to motivate up to its promise to managers as shareholders and ultimately lead them to value-enhancing decisions that the weak earnings and can reverse stock-price performance Valmont lackluster. The case works best if the students are familiar with the concepts of capital costs and present value. Observe the teaching that is available for registered explains faculty on how to integrate the accompanying six-minute video supplement.
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from
Kenneth Eades,
Jay Caver,
Jennifer Hill
Source: Darden School of Business
21 pages.
Publication Date: Oct 27, 1997. Prod #: UV2427-PDF-ENG
Valmont Industries, Inc. HBR case solution

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