Category Archives: Company Valuation
Why Facebook and Linked In IPOs Might Scare Users
May 20,2011 | 
Filed in: Linked In’s IPO and Facebook’s coming IPO have got me thinking. Linked In’s first day multiple of 300-600 times implies that shareholders either plan on making a lot more money than they currently are or that they love losing buckets of cash in the near term.
Conservative vs Aggressive Accounting Practices
When analysing the financial statements of companies, consider the implications of the methods of accounting that a particular company chooses. Unfortunately, using acceptable accounting methods does not always reflect economic reality.
Business and Company Valuation; Discounted Cash Flow and Multiples
Business and Company Valuation “What is a business worth?” Although it seems simple, determining the value of any business requires experience, sound judgment from market and industry experience and at least some understanding of financial analysis. Underpining everything that is outlined below however (much of which I sourced from wstselfstudy.com), I am certainly a part
Understanding Technical Analysis and Fundamental Analysis in Investing
This article is primarily intended to give an introduction to how technical analysis is used to make investment and stock market trading decisions. It will then compare the position of technical analysts to fundamental analysts in terms of what information and data each group uses in their quest for high returns. I have sourced most
9 key definitions to understand the valuation and earnings of companies
Valuation of Companies and 9 key definitions After skimming through The Fast Forward MBA in Finance, Second Edition by John Tracy, a few key concepts (such as EPS, ROE, market capitalisation and P/E) kept coming up again and again when dealing with the value of companies. When read in combination with Joel Greenblatt’s book, The
