Sentences with phrase «low multiples»

The phrase "low multiples" refers to a situation where a company's valuation or price is considered to be relatively low compared to certain financial ratios or benchmarks that are used to evaluate businesses. It means that the company is priced at a lower level compared to similar companies or industry standards. Full definition
It was all about valuation back then — finding stocks that were trading at low multiples of earnings and free cash flow.
These are stocks that are often trading at low multiples of book value, earnings, or private market value.
Only buy companies that have a very low multiple on their cash value and limit your stock purchases to five percent of your portfolio.
Very few companies trade have traded at that low multiple for many decades.
Latin American companies are currently valued at much lower multiples than companies in other parts of the world.
The very low multiples of the 70s are related to very high inflation and very high cash returns, and high expectations of future cash rates.
This is a result of index construction, because financials trade at relatively low multiples of book value.
It seems like a very compelling story to me with an extremely low multiple and an improving business.
A value trap occurs when a stock appears cheap, but is trading at low multiples due to underlying problems with the stock's issuer.
Instead, we're arguing that their current low multiples of earnings and book value are creating an unusual opportunity.
Despite its size, it is valued now at a fairly low multiple, because of its focus on hardware.
It's not too hard to find chip stocks trading at low multiples right now.
Therefore, the stock can possibly be picked up while it is still at a relatively low multiple.
Buying a basket of stocks with very low multiples has been quite profitable over the long term.
Companies trade on low multiples of recovered profits, but where long - term prospects are believed to be good.
They most often look for solid companies whose stocks are trading at low multiples of price relative to book value, cash flow, earnings, dividends, or sales.
So I sort of turned from a cheap skate investor, one who was focused on low multiple stocks, to one interested in real growth stocks.
The S&P 500 has more weight in industry groups with higher price multiples, such as software & services, and less weight in lower multiple groups such as automobiles.
They often trade at lower multiples because Wall Street sees diversification as destroying value, notes Aaron Cheris, head of Bain & Co.'s retail practice in the Americas.
Despite macroeconomic concerns, Adecco's business today is considerably better - positioned and is trading at significantly lower multiples than it was in April 2009.
The S&P 500 has more weight in industry groups with higher price multiples, such as software & services, and less weight in lower multiple groups such as automobiles.
Barbarian Capital I'd add low multiple resource names («my pick is diff because...») and short new category growth (ie CMG MNST)
I'd add low multiple resource names («my pick is diff because...») and short new category growth (ie CMG MNST)
modest proposal discount to real estate value, low multiple cyclicals at peak earnings, insurers, specialty finance co's on backside of growth
In the near term, domestic airlines continue to trade at extremely low multiples compared to other stocks in the industrials sector.
«They are promoting a lot of value but are not capturing it,» he said, noting the stock trades at lower multiples relative to its peer group and to its net asset value.
Accolade is still 20 per cent owned by New York Stock Exchange - listed Constellation Brands which bought the entire wine business for $ 1.9 billion in 2003 when it was known as BRL Hardy, and then sold down most of its stake in 2011 for a much lower multiple after a sustained slump in profits as the high Australian dollar hit profit margins on exports.
«We also found a comparable low multiple pregnancy rate between IUI - FSH and IUI - CC — and these are now the reasons why we recommend using the least expensive stimulation agent.
Value investors achieve this by looking for companies on cheap valuation metrics, typically low multiples of their profits or assets, for reasons which are not justified over the longer term.
It undervalued the total business by applying too low a multiple which is one reason management decide to unlock this value by spinning off the steel segment.
Value investors seek stocks that are priced attractively relative to some measure of intrinsic worth - for instance, they look for stocks selling at temporarily low multiples of price relative to book value, cash flow, earnings, or sales.
If volatility remains high enough, the headwind from lower multiples could offset much of the tailwind from higher earnings.
If you assume low multiples at the end of say, a 10 - year holding period, it would take heroic assumptions about the growth of dividends and earnings to get a respectable return from stocks (see: Estimating the Long Term Return on Stocks).
The total of the four amounts is then rounded to the next lower multiple of $.10 if it's not already a multiple of $.10.
A consortium made up of Michael Dell, several private equity firms, and even Microsoft will take the company private at what is believed to be a ridiculously low multiple.
«For Activision, acquiring Take - Two Interactive would be a no - brainer, in our view, circling some of the strongest development talent and owned IP in the world, within a company that has nearly $ 1 billion in cash and trades at a comparably lower multiple,» he said in a research note.
As of March 31, 2015 healthcare real estate investment trusts averaged a 19.6 x cash flow multiple while publicly - traded hospitals and surgical / rehabilitation companies averaged noticeably lower multiples of 8.9 x and 10.5 x cash flow.
Simon Property may not appear as the cheapest mall REIT in terms of yield and P / FFO ratio, particularly since some of its peers, such as Macerich, are trading at slightly lower multiples of FFO and offer a dividend yield of ~ 5 %.
• Easy lift with radio frequency remote control • Lift or lower multiple shades at a time
So for this wonderful business, even paying 25 times earnings worked out to a stellar return for shareholders of around 13 % annually for 15 years even as the P / E multiple contracted from 25 all the way down to 10, which would be a very low multiple for a great business like this.
The portfolio of low multiple stocks gained an average of 19.1 % annually from the start of 1999 through to June 16, 2017.
To the extent that it can, capital begins to exit the industry, or, the stock prices languish, and financials trade at low multiples on book, because they can't earn much off their net worth.
So, at the end of day, following our 10 Principles of Value Investing ™, looking for undervalued stocks with low multiples of earnings, cash flow, and book values, with strong balance sheets, and a dividend — which AVD pays a small dividend — we see AVD fitting the bill for us in the portfolio today.
Pepper trades at a relatively low multiple to the major banks, with a forward price - to - earnings ratio of 9 compared with 14.6 for top mortgage lender, Commonwealth Bank of Australia.
Ventas priced the hospital real estate at 14x rent (7.1 % capitalization rate), while the operations with the real estate were valued at a significantly lower multiple (albeit a record high for the hospital market) of 12x.
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