TELL ME THE VALUE OF THIS COMPANY

jaliya9000 · 1 TELL ME THE VALUE OF THIS COMPANY Fri Aug 21, 2015 8:53 pm

jaliya9000

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There is a company with annual EPS Rs.30 and DPS Rs. 7. NAPS is Rs.100 + .current economic factors will be benefited to the company. Quality management.sector is manufacturing. PLEASE TELL ME THE VALUE OF THIS COMPANY ( per share )

Antonym · 2 Re: TELL ME THE VALUE OF THIS COMPANY Fri Aug 21, 2015 10:11 pm

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jaliya9000 wrote:There is a company with annual EPS Rs.30 and DPS Rs. 7. NAPS is Rs.100 + .current economic factors will be benefited to the company. Quality management.sector is manufacturing. PLEASE TELL ME THE VALUE OF THIS COMPANY ( per share )

It is impossible to assign a value to the company's shares, based solely on financial results: Stock selection and investing should never be restricted to quantitative methods. However, I have found it useful to use a formula to assess whether a share is worth investing in or not; it is a method of elimination, not a method of selection.

My simple formula assigns weights to financial performance parameters that matter to me:
(5 x EPS) + (0.6 x BVPS) + (10 x DPS)

Let's take the figures for your company...
EPS = Earnings per Share = Rs 30.00
BVPS = Book Value per share = Rs 100.00
DPS = Dividend per Share = Rs 7.00
Then, according to my formula, the maximum that I would pay for that share is:
(5 x 30) + (0.6 x 100) + (10 x 7) = Rs 280.

ifenny · 3 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 1:30 am

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There is a another formula that can be use to decide fair value.
√ 22.5 x (EPS) x (BVPS)

If we apply it to your counter;

√ 22.5 x 30.00 x 100 = 259.80

I can see that both this formula and antonyms formula can be used to select a stock for further analysis to consider to invest. But this number alone should not be used for decision making.

Teller · 4 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 1:50 am

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this share should trade around around 130/-. i dont pay more than that.

nis2010 · 5 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 1:59 am

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Teller wrote:this share should trade around around 130/-. i dont pay more than that.

CAn you give us a explanation about trade price around 130?.

Teller · 6 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 2:16 am

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Actually these are my graph averages. I trust on this. People will give lot of values based on manufacturing sector PEs . My graphs creates on less attractions market price for manufacturing sector in asian markets. I think its because most companies imports raw matereals from overseas and the influence of exchange rates and many more factors.

ifenny · 7 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 2:27 am

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Technical analysis and fundamental analysis are two different aspects. What I understand is fundamental analysis will give a long term perspective of the counter while technical analysis like graphs/charts gives short term view.

Teller · 8 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 2:36 am

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Ok pls tell ur company

samaritan · 9 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 9:26 am

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sustainability of earnings in future & earnings growth should also be taken into consideration. This will depend on the sector and several other variables that affect the particular sector.

roshana7549 · 10 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 10:23 am

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Teller wrote:Actually these are my graph averages. I trust on this. People will give lot of values based on manufacturing sector PEs . My graphs creates on less attractions market price for manufacturing sector in asian markets. I think its because most companies imports raw matereals from overseas and the influence of exchange rates and many more factors.

Manufacturing sector is going to perform well in the next few quarters, Imported raw material prices are declining rapidly (refer articles of Value pick) and the global commodity price charts.... Therefore this sector going to perform well in the future than ever before... Hence Investors need to come out of the traditional mind set if you need to earn super profits...

Companies such as CIND, ACL, APLA, RCL will do really well in the next few quarters....

I guess this topic is about one of the above shares.

For an Example, refer below copper price chart to understand the future savings that Cable manufacturers will get next few quarters...

TELL ME THE VALUE OF THIS COMPANY 33c2eb026c14c80d3aaf7bc6f7d1bc3a

TELL ME THE VALUE OF THIS COMPANY 33c2eb026c14c80d3aaf7bc6f7d1bc3a

ONTHEMONEY · 11 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 10:34 am

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agree with roshan 7549

jaliya9000 · 12 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 12:01 pm

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The Company is RCL

soileconomy · 13 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 4:29 pm

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RCL..,....dividend Rs 7 ????????,.....

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TELL ME THE VALUE OF THIS COMPANY

1 TELL ME THE VALUE OF THIS COMPANY Fri Aug 21, 2015 8:53 pm

jaliya9000

2 Re: TELL ME THE VALUE OF THIS COMPANY Fri Aug 21, 2015 10:11 pm

Antonym

3 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 1:30 am

ifenny

4 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 1:50 am

Teller

5 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 1:59 am

nis2010

6 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 2:16 am

Teller

7 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 2:27 am

ifenny

8 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 2:36 am

Teller

9 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 9:26 am

samaritan

10 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 10:23 am

roshana7549

11 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 10:34 am

ONTHEMONEY

12 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 12:01 pm

jaliya9000

13 Re: TELL ME THE VALUE OF THIS COMPANY Sat Aug 22, 2015 4:29 pm

soileconomy

14 Re: TELL ME THE VALUE OF THIS COMPANY

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