Enterprise Value Valuation of Cloud Service Companies based on the Modified DEVA Model: A Case Study of Kingsoft Office

Ying Chen; Xuefei Guo

doi:10.6981/FEM.202507_6(7).0019

Enterprise Value Valuation of Cloud Service Companies based on the Modified DEVA Model: A Case Study of Kingsoft Office

Ying Chen, Xuefei Guo

Frontiers in Economics and Management, (2025), Vol.6, No.7, pp.175-186

Published: July 12, 2025

DOI: 10.6981/FEM.202507_6(7).0019

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Abstract

As cloud service enterprises, the quintessential products of the internet era, their deep integration with the real economy assumes pivotal significance for China's modernization drive. Characterized by a prominent proportion of intangible assets, these enterprises are susceptible to valuation distortions when appraised through conventional methodologies. Taking Kingsoft Office as a case study, this paper endeavors to enhance the traditional DEVA model by amending the user count, incorporating market share metrics, and introducing the payment penetration rate, with a view to further analyzing the accuracy of the model's valuation framework. The findings reveal that the revised DEVA model demonstrates a closer alignment with market capitalization and more effectively captures the underlying causes of value fluctuations, thereby offering a more nuanced understanding of the valuation dynamics in this context.

Keywords: Cloud Service Enterprises; Modified DEVA Model; Value Assessment.

APA Citation: Ying Chen, Xuefei Guo (2025). Enterprise Value Valuation of Cloud Service Companies based on the Modified DEVA Model: A Case Study of Kingsoft Office. Frontiers in Economics and Management, 6(7), 175-186. https://doi.org/10.6981/FEM.202507_6(7).0019

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