Musings on Markets

OCTOBER 12, 2023

The effect of impact investing in the inclusionary and exclusionary paths is through the stock price , with the buying (selling) in inclusionary (exclusionary) investing pushing stock prices up (down), which, in turn, decreases (increases) the costs of equity and capital at these firms.

Market Capitalization

Musings on Markets

NOVEMBER 9, 2021

My two most recent valuations were in June 2019 and January 2020, and I am going to go back to them, not just because they are recent, but because they led to investment decisions on my part. Between June 2019 and January 2020, the stock went on a tear, as the stock price more than tripled, and I revisited my Tesla valuation.

Start-ups

Musings on Markets

OCTOBER 6, 2023

In this post, I will look at another initial public offering, Birkenstock, that is likely to get more attention in the next few weeks, given that it is targeting to go public at a pricing of about €8 billion, for its equity, in a few weeks.

Intangible Assets

Musings on Markets

SEPTEMBER 1, 2021

In the graph below, I plot the market capitalization of Chinese listed companies, in dollar terms, and as a percent of market capitalization of all global companies: World Bank Database Chinese equities have risen from a negligible share of global market capitalization, in 2000, to more than 10% of global market capitalization, in 2020.

Market Capitalization

Reynolds Holding

MAY 22, 2022

Pill Trigger Thresholds Should Be Assessed Against Market Capitalization. The absence of an inverse correlation between market capitalization and trigger threshold is peculiar; in today’s world, what is relevant is the dollar stake an activist can acquire, not the threshold percentage. 5 billion market capitalization).

Market Capitalization

Musings on Markets

JANUARY 5, 2024

Since I am lucky enough to have access to databases that carry data on all publicly traded stocks, I choose all publicly traded companies, with a market price that exceeds zero, as my universe, for computing all statistics. Return on Equity 1. Equity Risk Premiums 2. Return on (invested) capital 2. Return on Equity 2.

Dividends

Reynolds Holding

AUGUST 15, 2022

Announced shareholder activist activity increased relative to 2020. Suchlevels of activism are comparable to those found prior to the market disruption caused by the COVID-19 pandemic, as reflected in public activist actions in 2019 (76 vs. 75), activist investors taking actions (48 vs. 49), and companies targeted by such actions (69 vs. 64).

Market Capitalization

Valutico

NOVEMBER 28, 2022

The company already paid over CHF 100 million in settlement in this matter in 2020. . The IPO of ABB’s E-Mobility division was planned for mid-2022 but has been delayed due to unfavorable market conditions. ABB performed particularly well in the COVID years 2020-2021, almost doubling its share price during this period.

Discounted Cash Flow

Valutico

NOVEMBER 28, 2022

The company already paid over CHF 100 million in settlement in this matter in 2020. . The IPO of ABB’s E-Mobility division was planned for mid-2022 but has been delayed due to unfavorable market conditions. ABB performed particularly well in the COVID years 2020-2021, almost doubling its share price during this period.

Discounted Cash Flow

Valutico

JANUARY 17, 2023

The company has a leading position in the Southeast Asian market with their e-commerce platform Shoppee and their gaming offers by Garena. Sea currently has a market capitalization of $29.8 After a breathtaking performance for one and a half years starting in 2020, the company suffered a dismal few months. billion to $41.6

Discounted Cash Flow

Musings on Markets

FEBRUARY 27, 2022

After paying taxes on this income, the residual amount represents net income, the final measure of equity earnings, and the basis for computing earnings per share and other widely used measures of profitability used by equity investors.

Start-ups

Valutico

OCTOBER 17, 2022

This led to a market cap of €78 billion after the IPO, which is higher than the current market capitalization of its parent company Volkswagen AG (€72 billion). . billion, showing a continuation of the robust performance achieved during the challenging economic conditions of 2020 when it grew profit before tax by 8%. .

Discounted Cash Flow

Valutico

MARCH 28, 2023

Share Price Performance Between February 2018 and February 2020, UBS saw a decline of over 35% in its share price due to weaker profits, which worsened during the pandemic. UBS’s share value rose in the second half of 2020, and by November 2020, it had recovered its pre-pandemic value. The company repurchased USD 5.6

Banking

Mckinsey and Company

JULY 9, 2025

A large share of net flows was directed toward low-margin products such as passives (€316 billion), money market funds (€133 billion), and active fixed income (€321 billion). High-margin asset classes have revenue margins of more than 30 basis points and include alts, active equity and active multi-asset. basis points).

Alpha

Musings on Markets

JANUARY 27, 2022

Conversely, the percent of investors expecting deflation has dropped to a vanishing low number, suggesting that Cathie Wood has little company, in her contention that deflation is the real danger to markets and economies.

Risk-free Rate

Equidam

NOVEMBER 22, 2021

As a result, the next question we need to examine is: Why did 2020 bring us the worst economic collapse since the Great Depression, yet the fastest venture market rebound ever? For decades, the technology sector’s part of global GDP has been gradually increasing, as has its share of world market capitalization.

EBITDA

Valutico

DECEMBER 4, 2023

What’s happening with the company Netflix has just experienced its largest rise of new subscribers since the COVID-19 lockdowns in 2020. Stock Market Implications In the recent past, most notably in 2020 and 2021, Netflix experienced considerable growth in the stock market. Last quarter, Netflix managed to add 8.8

Discounted Cash Flow

Valutico

MARCH 20, 2023

million for the financial year ending 31 December 2022, and its tangible equity is expected to be around GBP 1.4 (USD Although in 2018, HSBC’s stock was performing well and traded around USD 55, the Covid-19 crisis in 2020 affected the entire market, and HSBC was not the exception, leading to a marked decline in its stock price.

Dividends

Valutico

OCTOBER 28, 2022

After this announcement the company’s share price hit a six-year low of HKD 60 ($7.60), an 80% decline from its all-time high of HKD 300 ($38) in October 2020. . Alibaba’s current market capitalization of $167 billion suggests that the company is undervalued. Recent Financial Performance. billion ($28.1

Discounted Cash Flow

Valutico

APRIL 7, 2023

The estimated cost of the bank’s failure to the Deposit Insurance Fund is about USD 20 billion, and the FDIC will receive equity appreciation rights in First Citizens with a potential value of USD 500 million. by using our Flow-to-Equity simplified approach, as well as a Trading Comparables analysis. and Commerce Bancshares, Inc.

Banking

Musings on Markets

NOVEMBER 1, 2023

To deliver this growth, I did assume that Tesla would have to invest large amounts of capital in capacity, and that this would create a significant drag on value, resulting in a equity value of just under $10 billion.

Start-ups

Musings on Markets

NOVEMBER 4, 2022

Investors, used to a decade of better-than-expected earnings and rising stock prices at these companies, have been blindsided by unexpected bad news in earnings reports, and have knocked down the market capitalization of these companies by hundreds of billions of dollars in the last few weeks.

Start-ups

Musings on Markets

OCTOBER 4, 2021

In the decade since, that has changed, as the smart phone market has exploded to reach hundreds of millions of Indians in 2020. In 2010, fewer than 2% of Indians had smart phones, with most of them being well off and living in urban areas.

Start-ups

Musings on Markets

DECEMBER 2, 2020

In this section, I will start with a brief history of the company, move on to reviewing its financials leading into 2020, and then look at how it has performed in 2020. Once the virus made its presence felt elsewhere, in February and March, countries responded with partial and full economic shut downs that hurt all businesses.

Start-ups

Reynolds Holding

JANUARY 9, 2023

In 2020, the U.S. The tech-focused coffee chain allegedly touted its meteoric growth in revenues to attract over a billion dollars in investment from both the United States and Asia as part of an Initial Public Offering and a Secondary Public Offering in May 2019 and January 2020, respectively. The only top U.S. Top Non-U.S.

Banking

Musings on Markets

NOVEMBER 15, 2022

In this post, I want to focus on that point, starting with a discussion of why stories matter to investors and traders and the story that propelled the company to a trillion-dollar market capitalization not that long ago. billion in revenues in 2021.

Start-ups

Andrew Stolz

FEBRUARY 7, 2022

Radiant Opto-Electronics Corporation’s revenue breakdown 2020. It measures of how much free cash flow the company generates annually relative to the company’s size as measured in market capitalization. Lack of investments translate into zero revenue growth. Massive dividend yield secured by strong cash generation.

Dividends

Reynolds Holding

JANUARY 23, 2024

The truth began to be revealed in March 2020 when the House Financial Services Committee released a 113 report, describing Wells Fargo’s risk management plans as “materially incomplete” and “woefully short.” in August 2019, wiping out about $36 billion in market capitalization. in November 2015 to $26.50

Banking

Musings on Markets

APRIL 21, 2022

That said, the market clearly either sees more value in Snap's story or has more confidence in Snap's management, since there is a wide gap in market capitalizations, with Snap trading at a premium of 60% over Twitter.

Start-ups

Cooley M&A

JANUARY 25, 2023

Although 2022 saw a general decline in M&A activity in the life sciences industry compared to 2021’s frenetic pace (when deal volume was up 52% from 2020 ), life sciences deal flow in 2022 on balance remained strong despite the headwinds. There are, however, reasons to think that M&A in the life sciences industry is on the upswing.

Marketability

Reynolds Holding

NOVEMBER 30, 2023

07 Question: In each of 2020 and 2021, a registrant provided the same list of companies as a peer group in its Compensation Discussion & Analysis (“CD&A”) under Item 402(b) but provided a different list of companies in its CD&A for 2022. In what circumstances is such market capitalization-based weighting required?

Compliance

Musings on Markets

JANUARY 19, 2022

If equity markets surprised us with their resilience in 2020, not just weathering a pandemic for the ages, but prospering in its midst, US equity markets, in particular, managed to find light even in the darkest news stories, and continued their rise through 2021. The year that was.

Risk Premium

Reynolds Holding

NOVEMBER 15, 2022

Charges against robo-adviser Wahed Invest, LLC , which had marketed itself as providing advisory services compliant with Islamic, or Shari’ah law, but failed to adopt and implement written policies and procedures addressing how it would assure Shari’ah compliance on an ongoing basis. Market abuses.

Compliance

Musings on Markets

MARCH 19, 2022

The Market Reaction As the rhetoric of war has heated up in the last few months, markets were wary about the possibility of war, but as Russian troops have advanced into the Ukraine, that wariness has turned to sell off across markets. As Russian equities have imploded, the ripple effects again are being felt across the globe.

Start-ups

Musings on Markets

MARCH 25, 2021

The first quarter of 2021 has been, for the most part, a good time for equity markets, but there have been surprises. Coming in 2020, the ten-year T.Bond rate at 1.92% was already close to historic lows. In January, the NASDAQ continued its 2020 success, and the S&P 500 lagged, losing value.

Equity

Musings on Markets

MAY 7, 2023

In this post, I will begin by looking at how to value banks and follow up with an examination of investor views of banking have changed, by looking at pricing, before examining divergences in how banks are priced in the market today. All Equity, All the time!

Banking

Musings on Markets

JUNE 23, 2023

From 2001 to 2020, revenue growth at semiconductor businesses has dropped to single digits, as higher demand for chips in new uses has been offset by loss of pricing power, and declining chip prices. After a long stretch at the top, Intel has dropped back down the list and ranked third, in terms of revenues, in 2022.

Start-ups