Corporate Finance EBITDA Market Capitalization Risk Premium 
Musings on Markets
FEBRUARY 27, 2023
In this section, I will lay out a mechanism for evaluating the effects of borrowing on the cost of funding a business, i.e., the cost of capital, and talk about why firms may under or overshoot this optimal.
Musings on Markets
JANUARY 6, 2023
Thus, without a sense of what comprises a high or low profit margin for a firm, or what the cost of capital is for the typical company, it is easy to create "fairy tale" valuations and analyses. Check rules of thumb : Investing and corporate finance are full of rules of thumb, many of long standing.
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. Equity Risk Premiums 2. Return on (invested) capital 2. Costs of equity & capital 4.
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