Debt funds like to push the limits of the loan - to -
value ratios at which they pursue business — and as property values and floating interest rates fluctuates, those lenders could at times find themselves overextended.
One area that remains a major concern for the central bank is the growing share of uninsured mortgages, those with loan to
value ratios at or below 80 per cent, which is being fuelled by higher Toronto and Vancouver home prices and tighter qualification rules for insured mortgages.
Howard Shapiro, an analyst at Fox - Pitt, an investment bank, says the pair's average loan - to -
value ratio at the end of 2007 was 68 %; in other words, they could survive a 30 % fall in house prices.
Equity in home, typically a loan - to -
value ratio at 80 % or lower.
As a result, the average loan - to -
value ratio at origination has climbed to 87 %.10
The average loan - to -
value ratio at loan origination was 82 %.10
Morningstar pegs its loan - to -
value ratio at 103.8 percent.
Not exact matches
(If you use the
ratio of market cap to sales, Snap is still
valued at nearly 28 times sales — far more than its tech company peers.)
Currently, the company is trading
at about 25 times earnings and with a long - term earnings per share growth rate of about 15 %, its price - to - earnings to growth
ratio — a metric used to
value fast growing companies — is about 1.4.
At the crux of the marketability model is the
ratio of the lifetime
value of a customer to the cost of acquiring a customer, or LTV / CAC.
Sprint shares ended up 8.3 percent
at $ 6.50 on the news first reported by Reuters, close to where the deal
values the company based on the implied stock exchange
ratio tied to T - Mobile's shares.
«I would argue that the good companies that trade
at expensive multiples are better quality companies and deserve a higher multiple,» she says, pointing to the example of retailer Dollarama Inc. (TSX: DOL), which trades
at 28.8 times current - year earnings — seemingly rich even for its sector — with an enterprise
value - to - EBITDA
ratio of 19.8.
At Fiji, Robbins offered some insight into what Jones» daily email updates look like, saying, «he sends me a checklist of what we measure, everything from his NAV [net asset
value] to his [portfolio] weights, what's happening in his body, to his focus, to
ratios of risk - reward that we're measuring, and then he does a narrative for me.»
At its current price of $ 55 / share, HLF has a price to economic book
value (PEBV)
ratio of 1.4.
At its current valuation of ~ $ 67 / share, HLF has a price to economic book
value ratio (price - to - EBV) of 1.2 That
ratio means that the market expects only 20 % growth in NOPAT for the remainder of HLF's existence.
They were a rapidly growing company that traded
at a high multiple of earnings, and a high
ratio to their book
value.
The average contract interest rate for 30 - year fixed - rate mortgages with conforming loan balances ($ 453,100 or less) remained unchanged
at 4.69 percent, with points remaining unchanged
at 0.43 (including the origination fee) for 80 percent loan - to -
value ratio loans.
At its current price, General Electric has a price to economic book
value (PEBV)
ratio of 2.7.
Once you've made
at least five years of premium payments and reached a loan - to -
value ratio of 80 %, you can request removal of premiums.
At its current price of $ 105 / share, HAS has a price - to - economic book
value (PEBV)
ratio of 1.2.
The reason I'm a
value investor, according to our definition, is stocks are actually ownership shares of business that you
value and try to buy
at a discount, they're not pieces of paper the bounce around that you put Sharpe
ratios and Sortina
ratios and use computer simulations to balance your portfolios or whatever it is.
When all other things are equal, valuation
ratios are a good way to quickly compare the relative
value of a stock against others, as well as to look
at the relative
value of a stock over time.
At $ 12 / share Western Digital had a price to economic book
value (PEBV)
ratio of 0.8.
At its current price of $ 142 / share, CLX has a price - to - economic book
value (PEBV)
ratio of 1.2.
These
ratios can then be compared to historic
ratio values, or the
ratios of other similar companies to identify the
value of a stock
at any given time.
This is one reason why the S&P 500 trades
at a price / book
value ratio of nearly 6, compared to a historical norm below 2.0: companies have created virtually no underlying shareholder
value by retaining earnings rather than paying them out as dividends.
Currently, EM equities trade
at a 25 % discount to DM equities based on the price / earnings
ratio, thus offering better
value.
Best of all,
at its current price of $ 35 / share, Oracle has a price - to - economic book
value (PEBV)
ratio of 0.9.
At Berkshire Hathaway's recent annual shareholders meeting, an investor asked Buffett about the relevance of two popular measures of stock market value: 1) market cap - to - GDP, which Buffett once heralded as «probably the best single measure of where valuations stand at any given moment» and 2) the cyclically - adjusted price - earnings ratio (CAPE), which was made famous by Nobel prize winner Robert Shiller and was seen as accurately predicting the dot - com bubble and the housing bubbl
At Berkshire Hathaway's recent annual shareholders meeting, an investor asked Buffett about the relevance of two popular measures of stock market
value: 1) market cap - to - GDP, which Buffett once heralded as «probably the best single measure of where valuations stand
at any given moment» and 2) the cyclically - adjusted price - earnings ratio (CAPE), which was made famous by Nobel prize winner Robert Shiller and was seen as accurately predicting the dot - com bubble and the housing bubbl
at any given moment» and 2) the cyclically - adjusted price - earnings
ratio (CAPE), which was made famous by Nobel prize winner Robert Shiller and was seen as accurately predicting the dot - com bubble and the housing bubble.
At its current price of $ 39 / share, Southwest has a price to economic book
value (PEBV)
ratio of 0.7.
At its current price of $ 35 / share, CSCO has a price - to - economic book
value (PEBV)
ratio of 0.9.
When borrowers request a loan for an amount that is
at or near the appraised
value, and therefore a higher loan - to -
value ratio, lenders perceive that there is a greater chance of the loan going into default because there is little to no equity built up within the property.
At its current price of $ 117 / share, NPK has a price - to - economic book
value (PEBV)
ratio of 1.0.
At its current price of $ 65 / share, Thor has a price to economic book
value (PEBV)
ratio of 1.1.
In order to achieve this task, I will start by looking
at how the stock market
valued the stock over the past 10 years by looking
at its PE
ratio:
At its current price of $ 41 / share, VIAB has a price to economic book
value ratio (PEBV) of 0.5, which implies that the market believes its NOPAT will permanently decline by 50 %.
At its current price of $ 59 / share, TGT has a price - to - economic book
value (PEBV)
ratio of 0.5.
At its current price of $ 23 / share, KLIC has a price - to - economic book
value (PEBV)
ratio of 0.7.
At its current price of $ 14 / share, SCS has a price - to - economic book
value (PEBV)
ratio of 0.8.
At its current price of $ 77 / share, OMC has a price - to - economic book
value (PEBV)
ratio of 0.8.
At its current price of $ 53 / share, Wells Fargo has a price to economic book
value (PEBV)
ratio of 1.1.
The majority of lenders offer mortgage and home equity applicants the lowest possible interest rate when the loan - to -
value ratio is
at or below 80 %.
The stock currently trades
at a price to economic book
value ratio of 0.8.
Other requirements by lenders include a debt - to - income
ratio of
at least 43 % and loan to
value ratio of 80 % or less.
The displayed rates and APRs assume a loan amount of $ 260,000, an owner occupied single family detached home located in Pennsylvania, first time usage of VA eligibility, a loan - to -
value ratio of less than 80 %, a credit score of
at least 740, and a debt - to - income
ratio of less than 50 %.
* Here, the implied
value of bitumen is based on
value parity between diluted bitumen and WCS, and a 30 % blending
ratio of condensate to bitumen in a barrel of diluted bitumen, with all prices
at Hardisty.
If we consider the common wisdom of
value investors — low P / E
ratio stocks have historically earned better returns —
at their current market price E * Trade and IB seem to be a better buy, but certainly, cheaper ones compared to TD or Schwab.
At its current price of $ 38 / share, it has a price - to - economic book
value (PEBV)
ratio of 1.0.
To achieve this task, I will start by looking
at how the stock market
valued the stock over the past 10 years by looking
at its PE
ratio:
As a reminder of where the market stands
at the moment, the chart below shows the
ratio of nonfinancial market capitalization to corporate gross
value added.