Musings on Markets

MAY 20, 2022

I then examine how equities have performed in the less than five months of 2022, where inflation has returned to the front pages. In 2022, the collective market capitalization of all US firms has dropped by 19.75% , with the bulk of the drop occurring after April 1, 2022.

Price to Book 98

Price to Book Dividends Beta Equity 98

Musings on Markets

MARCH 19, 2022

Note, though, that while sovereign CDS spreads increased almost 51% between January 1, 2022 and March 16, 2022, in these countries, the overall riskiness of the region remains low, the average spread at 1.30%. lower than the traded value of 4766.

Start-ups 100

Start-ups Risk Premium Equity Market Capitalization 100

Musings on Markets

JANUARY 6, 2023

By the same token, it is impossible to use a pricing metric (PE or EV to EBITDA), without a sense of the cross sectional distribution of that metric at the time. For example, I have seen it asserted that a stock that trades at less than book value is cheap or that a stock that trades at more than twenty times EBITDA is expensive.

Risk Premium 52

Risk Premium Dividends Start-ups EBITDA 52

Musings on Markets

FEBRUARY 4, 2023

The company's return on invested capital has steadily declined, even as it has scaled up, hovering just over 3% in 2021-2022. You see similar movements in the price to book, where the stock has gone from trading under book value to 6.7 times revenues in the most recent two years.

Start-ups 100

Start-ups Market Capitalization Equity Marketability 100