Valuation methods & enterprise value · Specialist
Unlevered beta
Also called: asset beta
ELI5
Beta adjusted to remove the effect of financial leverage under chosen assumptions.
Used in conversation
“The range matters more than a false point estimate for unlevered beta.”
Pitch context
You will see “Unlevered beta” in financial models, budgets, board packs and investor materials when the discussion reaches valuation methods & enterprise value.
Why it matters: In valuation methods & enterprise value, a loose definition can change rights, obligations, approval, disclosure or enforceability.
Caution
Meaning, enforceability and required process vary by jurisdiction and agreement; this definition is not legal advice.
Sources & evidence · 5
Direct term-level sources and supporting source families.
- IFRS Foundation — IFRS GlossaryDirect source · primary · checked 2026-08-16
- U.S. Securities and Exchange Commission — Small Business Capital Formation GlossaryDirect source · primary · checked 2026-08-16
- Financial Accounting Standards Board — FASB Accounting Standards CodificationSupporting source family · primary · checked 2026-08-16
- U.S. Small Business Administration — Break-even pointSupporting source family · primary · checked 2026-08-16
- U.S. Securities and Exchange Commission — Non-GAAP Financial Measures — Compliance and Disclosure InterpretationsSupporting source family · primary · checked 2026-08-16