Musings on Markets

JANUARY 28, 2024

In short, if you don't like betas and have disdain for modern portfolio theory, your choice should not be to abandon risk measurement all together, but to come up with an alternative risk measure that is more in sync with your view of the world.

Risk Premium 93

Risk Premium Beta Start-ups Equity 93

Musings on Markets

MAY 20, 2022

In a final assessment, I break down companies based upon operating cash flows (EBITDA as a percent of enterprise value) and dividend yield (dividends as a percent of market capitalization). On bond ratings, there is no discernible link between ratings and returns, until you get to the lowest rated bonds (CCC & below).

Price to Book 96

Price to Book Dividends Beta Equity 96

Musings on Markets

FEBRUARY 27, 2023

One simplistic proxy for this cash generating capacity is EBITDA as a percent of enterprise value (EV), with higher (lower) values indicating greater (lesser) cash flow generating capacity. Debt to EBITDA, Interest Coverage Ratios If debt to capital is not a good measure for judging over or under leverage, what is?

Equity 52

Equity EBITDA Start-ups Net Debt 52

Brian DeChesare

AUGUST 10, 2022

Companies may classify these deposits as resources (more speculative) or reserves (confirmed by drilling, accurately measured, and economically recoverable using current technology). CNOOC Energy Technology & Services (China), PAO TMK (Russia), and NOV. TechnipFMC (U.K.), EBITDAX normalizes for these accounting differences.

Banking 88

Banking EBITDA Dividends Equity 88

Musings on Markets

JANUARY 31, 2024

Among the sectors, energy stands out, generating the highest margins globally, and the second highest, after technology firms in the United States. In maturity, with debt entering the financing mix, net margins become good measures of profitability, and in decline, as earnings decline and capital expenditures ease, EBITDA margins dominate.

Equity 79

Equity Book Value Start-ups Corporate Finance 79

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 EBITDA Start-ups 52

FE International

MARCH 14, 2018

From sophisticated design suites, like Adobe Creative Cloud , to mobile communication tools like WhatsApp , apps increasingly power the engine of technology. For both paid and shared AMIs, developers must meet the following criteria : Sell publicly available, full-feature production-ready software (not a beta product).

Marketability 52

Marketability Start-ups EBITDA Business Valuation 52