Industrial cyclicals are selling at valuation levels not seen for 20 years.
The fund's stock-picking process includes a scan of companies growing faster than their peers, a risk evaluation of balance sheets and the stability of cash flows, and a hard look at valuation, to see if a stock is worth the price.
He says they are not going to worry about people scoffing at the valuation.
FORBES: Web 2.0: Twitter Seeing Nearly 250 Million Tweets/Day; Over 100 Million Users
In fact, Apple is trading at a valuation that is more in-line with capital intensive industrial and manufacturing businesses.
It's become au courant in the Valley to look askance at the valuation estimates being thrown around for Facebook.
This is undoubtedly a great company, but at this valuation you have to absolutely love it to dive in.
FORBES: Illuminating Thought: Cree Is Not Terribly Expensive
Second, at this valuation, Groupon can be an attractive takeover candidate.
And we encouraged all of our clients to have an independent economist look at the valuation methodology, and not opine on the value, but opine on the methodology.
That is not much bang for the buck, so to speak, but it would be pointing a gun with a very big bang at the valuation of the dollar.
FORBES: The Fed Pushes On A String As It Ponders How To Create Inflation
If MDT remains at this valuation for a long time, it can buy back 12% of the company year after year, and this in itself would result in 12% earnings growth.
Just before Ross was supposed to report same store sales, a sell-side analyst came out and downgraded the stock saying that it was at full valuation with no catalyst to move the stock forward.
"If you look at our stock and you do some analysis on it, the multiples that we trade at, the valuation that we trade at, in my opinion, is at a discount to our comps, " he said.
Raising equity at that valuation is out of the question, and with conventional bank loans in China having a maximum term of one year, Tri-Tech turned to the bond market, a new source of capital in China, to obtain longer term financing.
For example, over the last ten years the market has historically been willing to pay between 5.7x and 11.4x cash earnings per share of CKR, but even at the offering price that metric falls short of the historically normal valuation at 5.1x.
FORBES: CKE Holds Out For Bigger Kahuna In Budding Burger Joint Bidding War
If you raised money in an equity round at a high valuation, you may find that if you need money you can only get it at a lower one.
FORBES: Paul Graham: What Startups Can Do If (When?) Facebook IPO Affects Valuations
It yields 1.6 percent and sells at a comparable valuation of free cash flow.
"It was messy and a bit odd, " says Raymond Perrier, head of brand valuation at Interbrand.
Not necessarily good for business, but great for gifting at a low valuation amount.
FORBES: Want to Avoid the Estate Tax Cliff? Five Ways to Help
For example, suppose an employee sells shares at a high valuation but there is no financial disclosure provided.
FORBES: Dealing with Secondary Markets for Your Company's Stock
We think at the current valuation much of the risk of its business shrinking has been effectively priced-in.
FORBES: Lots Of Butts Still Need To Be Kicked: Northrop Grumman And The Bullish Case for Defense
And, no one is arguing that Apple is an expensive stock, because it trades at an inexpensive valuation.
These savvy investors would have already performed significant analysis to determine a valuation at which they felt comfortable investing.
FORBES: How GAAP Accounting Rules May Be Damaging To Investors
It would be one thing if the stock were not already trading at an inflated valuation, but it is.
Union Pacific, a well managed railroad, sells at a higher valuation than Apple.
Keeping collateral at a phony valuation fraud and a distortion of bank reporting.
FORBES: J P Morgan Breached its Risk Limits More Than 330 Times in 2012
Malvinder Singh sold out at the right time and at a great valuation.
In terms of value, investors are buying FB at half the valuation of Google, but getting three times the minutes spent.
应用推荐