Sentences with phrase «embedded in the stock price»

In addition to poor and misleading fundamentals, future profit expectations embedded in the stock price were very high.

In addition to deteriorating fundamentals, future profit expectations embedded in the stock price were very high.

This under appreciated industrials company is benefiting from internal profitability initiatives and external growth drivers, while low profit expectations embedded in the stock price make for an attractive risk / reward scenario.

2) Valuation: based on the expectations embedded in stock prices.

Figure 1 shows this value - destroying behavior in action for GE (GE) by comparing between the amount of money spent buying back shares and the price to economic book value (PEBV), a measure of the growth expectations embedded in the stock price.

This observation is based on our analysis of JETS at the stock level, where we analyze earnings quality, true profitability and the market - implied cash flow expectations embedded in stock prices.

Because our model focuses on quantifying the market's expectations for the future financial performance of a company as embedded in the stock price, we need a more dynamic DCF model than the traditional models that force the valuation of every stock into a 5 or 10 - year forecast horizon.

B) Valuation: based on the expectations embedded in stock prices.

Under Armour (UA) falls 15 % as earnings fail to meet the lofty expectations embedded in the stock price, which we outline in the video above.

In the video above, CEO David Trainer outlines how the expectations embedded in the stock price were far too optimistic.

Future profit expectations embedded in the stock price look overly conservative in light of historical performance and the firm's solid competitive position in a growing market.

Our investment thesis highlighted: 1) a negative divergence between GAAP and economic profits; 2) slowing organic growth; 3) high profit growth expectations embedded in the stock price; and 4) the unlikely sale of the company despite the presence of an activist investor.

Not exact matches

Investors looking for value need to take a holistic approach that measures a company's ability to deliver economic earnings to investors and quantifies the expectations for future cash flows embedded in its current stock price.

b) Price to Economic Book Value measures the growth expectations embedded in the prices of the stocks in sector / industry.

Stocks with overly high expectations embedded in their prices can still perform well in the short - term, but they tend to face a reckoning eventually.

For example, when we put Amazon (AMZN) in the Danger Zone back in May 2013, we highlighted that the current stock price of $ 267 / share embedded the expectation that the company would grow profits by 25 % compounded annually for 25 years.

The significant reduction in stock price and embedded market expectations diminishes the downside risk and we are closing the position.

Read The Ugly Truth About Netflix: Investor's Beware and then watch CEO David Trainer explain how to use our model to understand the performance expectations embedded in NFLX's stock price, utilizing insights pulled from our financial market research software.

b) Price to Economic Book Value measures the growth expectations embedded in the prices of the stocks in the fund.

Even after a 42 % drop in its stock price, BOX still has significant growth expectations embedded in its valuation.

Unlike equities which trade openly on stock exchanges, bonds are traded over-the-counter (OTC), where pricing is relatively opaque and commissions are embedded in the prices paid for the bonds.

I have no idea of the upside in these names, but I am very confident that each of these stocks have a high margin of safety embedded into the current price.

In general, GAAP accounting rules don't affect stock prices, because they don't affect free cash flow, unless the GAAP rules are embedded in credit covenantIn general, GAAP accounting rules don't affect stock prices, because they don't affect free cash flow, unless the GAAP rules are embedded in credit covenantin credit covenants.

If bitcoin prices fall, it will not be for the same reasons as the other bubbles since bitcoin is not yet embedded in the economy and the financial structure the way dot - com and housing stocks were.