Posts by Andrew Stotz
VMC: The Motivation, Impact, and Pain of Share Buybacks
A share buyback is when a publicly-listed company uses cash to purchase its shares ‘back’ from the market. Also called share repurchase, the concept gives existing shareholders an option of selling their personal stakes back to the company. The only other way a company can distribute cash in such a manner is through dividends.
Read MoreVMC: Mistake #5 – Forecasting Drastic Changes in the Cash Conversion Cycle
It’s important to remember that huge year-to-year changes only happen in truly exceptional valuation cases. Significant changes in product mix or the introduction of new products can occasionally cause such huge annual changes. But, generally, annual forecasts should not deviate substantially from the historical numbers.
Read MoreVMC: 3 Effective Methods for Valuing a Business
Having a comprehensive value of your business is useful for helping you raise capital, whether through a business loan or investors, since it demonstrates you have a thorough understanding of the value of your business based on an all-embracing approach.
Read MorePoor Market Performance in the Philippines and Indonesia Continued in 1H18
Chart of the Day: Overall, Asian markets fell in 1H18. Taiwan was most resilient, the Philippines performed the worst. Most Asian markets also saw their currencies weakening against the US Dollar.
Read MoreGlobal Gearing Is in Uptrend and Has Passed 2008 Peak
Chart of the Day: Global gearing has been trending up since 2010. It passed the 2008 peak in 2017. However, gearing is still below peaks before the Dotcom bubble and the Asian financial crisis.
Read MoreVMC: Mistake #4 – Confusing Growth Capex with Maintenance Capex
When it comes to choosing CFA or MBA, it’s important to check out what will be required of you to attain it in terms of time and study, and what competitive edge each qualification will give your career. Here is how each type of certification will help you advance your skills, so that you can decide which one is right for you.
Read MoreGlobal Revenue Growth May Be Getting Closer to a Peak
Chart of the Day: More than 17,000 companies worldwide have shown a strong revenue uptrend. We are now two years into this revenue uptrend and may be getting closer to a peak. Companies have been slow to expand their assets, unlike in prior stock market boom times.
Read MoreAsia ex Japan Is Trading around Its 10-yr Average Price-to-Book
Chart of the Day: Global markets are expensive, not bubble yet. US 10-year bull run hitting its peak. Unlike the US, Asia valuations are not stretched. Developed Asia ex Japan appears cheap.
Read MoreVMC: How to Decide Between the CFA Program vs. an MBA Program
When it comes to choosing CFA or MBA, it’s important to check out what will be required of you to attain it in terms of time and study, and what competitive edge each qualification will give your career. Here is how each type of certification will help you advance your skills, so that you can decide which one is right for you.
Read MoreDeveloped Markets Have Rebounded Recently, Emerging Markets Have Not Followed
Chart of the Day: Developed markets have outperformed Emerging markets over the past decade and recently. Outperformance has been driven by the strong performance of the US market. US could be at risk, though.
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