Sentences with phrase «valuation discounts do»

Economic activity, earnings growth and valuation discounts don't justify it, and oil prices appear stuck in a range.

Not exact matches

Financial theory does suggest that equity valuations, i.e. the price you pay for a dollar of earnings, should drop as the interest rate used to discount that earning rises.

Now let's suppose a company raised its seed round by issuing a convertible note that had no valuation cap but did have a 20 % discount to the Series A round.

It doesn't matter whether one looks at basic measures such as median valuation multiples over the past (bull market) decade, or whether one uses a more complex discounted cash flow model.

* This value is hypothetical, for illustrative purposes only, and does not account for possible valuation discounts due to restrictions on the shares, if any.

For long - term investors the most important manifestation of that trend is a U.S. stock market trading at elevated valuations that do not discount much in the way of bad news.

Does an in - depth valuation process that covers both discounted cash - flow valuation analysis and relative valuation analysis meet your objectives?

European equities have done well this year, but they are still trading at a valuation discount to U.S. peers.

But as I noted last week (see Two Point Three Sigmas Above the Norm), nominal growth and interest rate variations have historically canceled out over the past century, with little effect on the accuracy of our valuation estimates — matched reductions in the growth rate and the discount rate really don't affect fair value.

I generally only buy into companies that are selling at a substantial discount, or margin of safety, to my estimate of value for the company so that this way if I do make a mistake in the analysis or valuations then I will still have a chance to make some money.

Small - caps generally don't offer the valuation discount that I like to see when buying something off of the beaten path.

It's a coercive way of doing an equity or debt offering, and requires a significant discount to current financing valuations.

I'm often asked why I don't lower my discount rate (increase my valuation) given lower risk free rates.

My next step for this analysis would be to do a discounted cash flow analysis on Delta Airlines to further validate the valuation.

Many investors know all about discounted cash flow valuation and can calculate the future cash flows of a company thirty - nine years into the future, but they still fail because they do not have the mental fortitude or discipline necessary for success.

However, they did manage a resource upgrade, so that helps... I'm still comfortable with my long - term $ 150 per proved oz in - the - ground gold valuation, so in this instance I'll apply a 50 % discount to their 32 K of measured oz & a 75 % discount to their 148 K of identified oz (ignoring inferred resources, at this point).

Post-oil price collapse, this 10 % rule doesn't make sense... I think it's prudent to adopt an $ 8 per proved boe valuation & to discount in similar fashion.

European equities have done well this year, but they are still trading at a valuation discount to U.S. peers.

Both of these concepts augur in favor of a breakup of AIG — even without the additional capital needed for being a SIFI (which no insurance firm should be, they don't collapse together, like banks do), large firms get a valuation discount, because they can't grow quickly.

Did you note that yesterday Goodbody released a research note on Donegal.Target price EUR 6.70 with VERY conservative assumption (they used a 20 % discount on the low - end valuation for the mushroom business, and used bear case valuations for a lot of other stuff).

Does the short - term bias of valuation models mean that the impact of lower - than - expected future demand is largely discounted out at present?