BC VALUATION
Saved by @AnmolNarula11

When you think a marquee leader in a sector is richly valued, discounts the distant future, is over
owned and has run its course, take a clean break.

Sell and go away. Don't seek lesser opportunities in weaker companies.

More from Valuation

ContrarianEPS
ContrarianEPS
@contrarianEPS
@SunDudez @Iamsamirarora Even if one had invested when Infosys valuations' were at its peak, one would have still made index-par returns in hindsight
VALUATION
Dinesh Sairam
Dinesh Sairam
@Dinesh_Sairam
1/ Howard Marks once said that before buying an asset, above anything, he wants to know “the amount of optimism that’s in the price.”

All investors can do this with a handy tool: The Reverse DCF.

I'll also leave a download link to my compact DCF Model at the end of this thread.

2/ We all know a regular DCF. But's what a "Reverse DCF"?

If we consider that a DCF is a Linear Equation, we could say the 'X' (The unknown variable) is the Intrinsic Value.

In a Reverse DCF, we start with the Market Price and try to find some other variable, say Sales Growth.


3/ Let's start by taking an example: VST Industries, a Cigarette-maker based in India.

I valued them on my blog a while ago. I'll be retaining the old assumptions, but using the latest financials.

So please note that the Valuation isn't accurate

4/ This is a "Regular DCF" of VST Industries. The Assumptions I've made indicate an Overvaluation.

The Intrinsic Value is Rs. 3,012, but the Market Price is Rs. 3,492.

Let's not dwell on whether this is correct, since we discussed earlier that this isn't an accurate Valuation.


5/ If we want to do a "Reverse DCF" instead, we need to pick a different variable to 'find'. Say, I will pick the Sales Growth numbers.

I will now remove the Sales Growth numbers from the Model and assume that Sales Growth is the same across the years for ease of calculation.
VALUATION
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V Karthikeyan
V Karthikeyan
@chytak
@Dinesh_Sairam @_CreatingWealth @suru27 But I guess Kovai caters to the lower end of the spectrum so it's impact is much limited and perhaps be a beneficiary.
VALUATION , ACCOUNTING
Value Investor Journal \xae
Value Investor Journal...
@VJ_Rabindranath
Never make the mistake of selling a great business just because it's overvalued.
VALUATION
Dr. Vijay
Dr. Vijay
@Health_Z_Wealth
Why is Tasty bite at 90 PE with 15% sales growth and 20-22% ROCE.

Why not at 20-30 PE?
VALUATION , PUMP DUMP

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Dr. Thomas Binder, MD
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12 Most Powerful Hanuman Mantras

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God Hanuman played a prominent part in rescuing Mata Sitafrom the bondage of demon King of Lanka, Ravana.


One can worship Hanuman ji by chanting Hanuman Mantras. There are many different types of Hanuman Mantras, each fulfilling a specific purpose. Hanuman Mantras help to beget the blessings of Mahabali Hanuman for success. 3/n


Let’s explore these powerful Hanuman Mantras one by one. Here’s the list for you:

1. Hanuman Moola Mantra
!! Om Hanumate Namah !!
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