Sentences with phrase «divided by the capitalization»

Discounted Future Earnings is another earning value approach to business valuation where instead of an average of past earnings, an average of the trend of predicted future earnings is used and divided by the capitalization factor.
The NOI is divided by a Capitalization Rate («Cap Rate») to determine the buildings value from the income approach.

Not exact matches

He likes to see the ratio of debt to total capitalization (debt divided by shareholders» equity plus debt) under 50 %.
It starts with total market capitalization and divides that number by the replacement cost, or the amount of money a company would have to spend to replace an asset, added up across all companies and industries.
It involves dividing your company's net operating income by the capitalization rate for the region.
If instead we use total expenditures on dividends plus net stock buyback cash plus change in total debt divided by market capitalization, we don't need to worry about changes in share count due to stock splits.
Price to book ratio is the stock's capitalization divided by its book value.
PA stock's capitalization divided by its after - tax earnings over the latest 12 - month period.
CAP (capitalization) rate: This is the Net Operating Income divided by the purchase price.
The capitalization rate equals a property's net annual rental income divided by the current value of the property.
* The Q ratio, calculated by dividing a company's market capitalization by the replacement cost of its assets.
In practice, the calculation can come down to comparing the earnings yield of an index (earnings divided by market capitalization) to the yield on the long Treasury note.
Mobile home park investments tend to trade at a capitalization rates (net income divided by purchase price) anywhere from 1 - 3 percentage points higher than comparable quality multifamily assets.
This is done by dividing the market capitalization of a company on the index by the total market capitalization of the index.
2 Calculated as DHT consensus 2010 free cash flow divided by market capitalization of $ 171 million on 2/26/10.
In order to calculate the ratio you are looking for, just divide total debt by the market capitalization of the stock.
Debt / Total capital, which is a measure of financial leverage, is calculated by dividing long - term debt by total capitalization (the sum of equity plus preferred equity and long - term debt).
The percent error, which is calculated as the absolute value of the difference between the allocations divided by the allocation in VTSMX, increases as market capitalization decreases, but that shouldn't bother you.
The article in reference was a study done by Charles Schwab, which examined the 1,500 largest stocks by market capitalization from 1990 - 2009 and divided yielding stocks into four quadrants.
In order to calculate the value of the index, you will add up the market capitalization of each stock and then divide the figure by the total number of stocks.
Same sectors, but the $ 21 billion of market capitalization that the 2,800 + penny stocks live in are divided into five roughly equal quintiles by market capitalization.
Owner earnings divided by market capitalization can also be expressed as «equity bond» percentage yield.
CAP (capitalization) rate: This is the Net Operating Income divided by the purchase price.
Divide this total sum by the market capitalization of the company.
Following standard practice, the authors first divide the universe into large and small stocks, and then partition the large - and small - stock subsets by factor strategy — value, momentum, low beta, quality, and illiquidity — to construct high - characteristic and low - characteristic portfolios weighted by market capitalization.
The forward price to earnings ratio is calculated by dividing the total market capitalization of a stock to the projected company earnings for the next fiscal year.
The capitalization rate of an investment may be calculated by dividing the investment's net operating income (NOI) by the current market value of the property, where NOI is the annual return on the property minus all operating costs.
Capitalization Rate (Cap Rate)-- Used by investors to evaluate income properties, the NOI divided by the Cap Rate gives an estimate of the buildings value.
Using the above example, a 200 unit apartment complex that generates net income of $ 550k each year is then divided by what's called the capitalization rate, or cap rate.
The direct income capitalization formula is widely used in the property investment formula, especially for very quick and rough calculations of the value of an income producing property by dividing the property's NOI at the time of analysis or the first year of its holding period by the market capitalization rate.
The simplest version of the income capitalization approach derives the value of a property by dividing the Net Operating Income (NOI) of the property with themarket capitalization rate.
To determine a property's value, divide the property's net operating income by the desired capitalization rate.
To obtain a property's capitalization rate, divide the net operating income of a property by its value.
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