Buying/selling a website: Does CPC affect the valuation?

Should sites with high CPC values sell at a higher price

[sahuman]

I wanted to know if existing CPC rates could be a factor in valuation of a website.

Just as an example let's take a site about "Blue widgets"

- a content site about blue widets, with really no significant revenue model
- the site does well on Search engines like Yahoo (within the top 10 results) for the term "blue widgets".
- The top three bids on Overture for "Blue widgets" around $5 per click.
- the site has around 50 uniques/day (all SE referrals)

I was wondering if you could value the site based on a calculation like:

$5 (CPC) x 50 uniques x 30 days = $7500/month

The $7500 here of course would be savings and not the website's revenues. I was wondering on what would be the right price to sell the site, given the fact that the site doesn't earn much, but does well on SEs for high value money terms.

Thanks!

[conroy]

Have you tried running adsense? You can often command higher prices with some actual revenue.

Those sites paying $5/click might be doing it partly for the branding effect across yahoo and other search engines. I doubt they would pay based on their top bid price.

[sahuman]

I do use adsense. But in the past couple of months, the revenues from it have been severely hit for the site.

[jasonlambert]

A good guide for evaluating a site's worth can be found here:

[webmasterworld.com...]

I was wondering if you could value the site based on a calculation like:
$5 (CPC) x 50 uniques x 30 days = $7500/month

I wish.. if that was the case, I could retire tomorrow :)