The amount of net assets belonging to the owners of a business (or shareholders of a company) based
on balance sheet values.
Even value investors who use the detailed
balance sheet values in their investment decisions make extensive adjustments to them to try to make them more realistic.
Until a single accounting system is adopted internationally, U.S. companies using GAAP will be reporting earnings and
balance sheet values differently from their competitors outside the States.
They are all Graham cigar butts (companies with broken business models, and yet some
residual balance sheet value), but not all Graham cigar butts are for Greenbackd.
These are being sold (or handed back to the bank), so 0.4 M of negative equity will be wiped shortly from the balance sheet, ii) the Aldgate East investment will be settled (for 6.7 - 6.8 M, presumably in cash) in the next few months — let's presume a 0.5 M uplift from the
current balance sheet value, and iii) 16.5 M treasury shares have just been sold to the Kennedy Family (increasing their aggregate stake to almost 60 %), raising 0.3 M of cash.
While the $ 315m sale price is 40 % lower than
the balance sheet value of the assets, this is positive news.
I am just starting with the stock market and I find the terms in books / tutorials not exactly matching with
the balance sheet values.
Our universe is slightly smaller because we also require some path to unlocking / realizing that
balance sheet value.
Balance sheet values have been marked down significantly in the past few years, and QED trades at a massive 66 % discount to NAV (averaging the latest NAVs).
HRT's
balance sheet value is predominantly in its property, plant and equipment, to the tune of $ 16.1 M, which we've written down by half to $ 8M or $ 2.96 per share.