One thing we disagree on is the valuation, but that’s because of the difference in methodology. I use DCF and I get to a fair value of 166 dollars per share ;-)
One thing we disagree on is the valuation, but that’s because of the difference in methodology. I use DCF and I get to a fair value of 166 dollars per share ;-)
I try to keep my valuation methods consistent from company to company in order to ensure they are comparable, but that does bring issues where i'm effectively looking back in time, and expecting the same performance going forward.
I could mess with some of the assumptions, especially in terms of future growth, and that would result in lower valuations, I could increase my margin of safety.
That said, I don't like doing those things because it would be inconsistent with the other valuations I do on this blog, so they wouldn't be comparable.
Still, it's definitely worth considering future prospects when deciding to invest!
A very high quality article my friend!!! 👏👏
One thing we disagree on is the valuation, but that’s because of the difference in methodology. I use DCF and I get to a fair value of 166 dollars per share ;-)
I enjoyed the read, keep them coming!
eDGI
That's fair!
I try to keep my valuation methods consistent from company to company in order to ensure they are comparable, but that does bring issues where i'm effectively looking back in time, and expecting the same performance going forward.
I could mess with some of the assumptions, especially in terms of future growth, and that would result in lower valuations, I could increase my margin of safety.
That said, I don't like doing those things because it would be inconsistent with the other valuations I do on this blog, so they wouldn't be comparable.
Still, it's definitely worth considering future prospects when deciding to invest!