Equilest

JANUARY 25, 2023

Employee Stock Ownership Plans (ESOPs) have become increasingly popular among start-ups as a way to enhance valuation and promote growth and retention. This article will explore the benefits of ESOPs for start-ups, including how they can be used to boost valuation, promote growth, and retain top talent.

Start-ups 40

Start-ups Discounted Cash Flow Earnings Multiplier Appraisal 40

Equilest

JANUARY 25, 2023

Employee Stock Ownership Plans (ESOPs) have become increasingly popular among start-ups as a way to enhance valuation and promote growth and retention. This article will explore the benefits of ESOPs for start-ups, including how they can be used to boost valuation, promote growth, and retain top talent.

Start-ups 40

Start-ups Discounted Cash Flow Earnings Multiplier Appraisal 40

Musings on Markets

OCTOBER 12, 2023

In response, I have been told that the problem is not with the idea of ESG, but in its measurement and application, and that impact investing is the solution to both market and society's problems. If impact investing were measured entirely on fund flows into green energy companies and out of fossil fuel companies, it has clearly succeeded.

Market Capitalization 112

Market Capitalization Enterprise Value Start-ups Marketability 112

Musings on Markets

JANUARY 21, 2023

It is the nature of stocks that you have good years and bad ones, and much as we like to forget about the latter during market booms, they recur at regular intervals, if for no other reason than to remind us that risk is not an abstraction, and that stocks don't always win, even in the long term. at the start of that year.

Equity 96

Equity Risk Premium Start-ups Dividends 96

Musings on Markets

JUNE 23, 2023

I will start this post with a couple of confessions. The first is that my portfolio has held up well this year, in a market that has been top-heavy and tech-driven, and one big reason is that it contains both NVIDIA and Microsoft, two companies that have benefited from the AI story. Love-Hate Relationship with Markets!

Start-ups 103

Start-ups Marketability Market Capitalization Technology 103

Musings on Markets

NOVEMBER 4, 2022

Investors, used to a decade of better-than-expected earnings and rising stock prices at these companies, have been blindsided by unexpected bad news in earnings reports, and have knocked down the market capitalization of these companies by hundreds of billions of dollars in the last few weeks.

Start-ups 105

Start-ups Market Capitalization Marketability Dividends 105

Musings on Markets

JANUARY 17, 2024

While stocks had their ups and downs during the year, they ended the year strong, and recouped, at least in the aggregate, most of the losses from 2022. Stocks ended the year well, with November and December both delivering strong up movements, and while this left investors feeling good about the year, it was a rocky year.

Risk Premium 79

Risk Premium Start-ups Equity Treasury 79

Musings on Markets

NOVEMBER 1, 2023

I was planning to start this post by telling you that Tesla was back in the news, but that would be misleading, since Tesla never leaves the news. I profited mightily on that investment, but I sold too soon , when Tesla's market capitalization hit $150 billion, and just before COVID put the company on a new price orbit.

Start-ups 124

Start-ups Marketability Market Capitalization Equity 124

Musings on Markets

MAY 20, 2022

Historical Data: 1930-2019 To see how this framework works in practice, let's start by looking at the performance of US stocks, across the decades, and look at the returns on stocks, broadly categorized based on market capitalization and price to book ratios.

Price to Book 102

Price to Book Dividends Beta Equity 102

Musings on Markets

FEBRUARY 12, 2022

It has been a rocky year so far, in 2022, with worries about inflation competing with hopes about recovery for the market's attention. Netflix and Facebook saw drops of 20% or more in market capitalization, following negative earnings reports, but Amazon and Google beat market expectations. to 14.9%. to 14.9%.

Market Capitalization 103

Market Capitalization Equity Marketability Start-ups 103

Reynolds Holding

APRIL 4, 2022

Today, you’ve invited me to talk about the roughly $2 trillion crypto markets. Seeing these ads reminded me that, in the lead-up to the financial crisis, subprime lender AmeriQuest advertised in the Super Bowl. The dot-com bubble burst, though, created significant tremors in our markets. Ads, thus, don’t equal credibility.

Marketability 65

Marketability Start-ups Banking Compliance 65

Musings on Markets

OCTOBER 4, 2021

Since so much of Paytm’s success has been driven by the rise if smart phone usage among Indian consumers, and the concurrent rise in mobile payments for goods and services, I will start with a review of that rise, before looking at how Paytm has put itself in position to take advantage of that market shift.

Start-ups 97

Start-ups Banking Marketability Technology 97

Musings on Markets

NOVEMBER 9, 2021

I have been writing about, and valuing, Tesla for most of its lifetime in public markets, and while it remains a company that draws strong reactions, it is also one that I truly enjoy valuing. Put simply, the company has been able to scale up more quickly, while reinvesting less in capacity, than any other automobile company.

Start-ups 101

Start-ups Dividends Marketability Market Capitalization 101

Musings on Markets

JANUARY 27, 2022

By the end of 2021, it was clear that this bout of inflation was not as transient a phenomenon as some had made it out to be, and the big question leading in 2022, for investors and markets, is how inflation will play out during the year, and beyond, and the consequences for stocks, bonds and currencies.

Risk-free Rate 99

Risk-free Rate Treasury Price to Book Start-ups 99

Musings on Markets

SEPTEMBER 11, 2023

The strike by screen actors and writers which started in July is now into almost into its third month, with no end in sight, putting at risk the pipeline of movies and shows that were expected to hit theaters and streaming platforms in the next few months.

Start-ups 85

Start-ups Market Capitalization Marketability Technology 85

Musings on Markets

MAY 5, 2023

The overarching questions for us all are whether this crisis will spread to the rest of the economy and market, as it did in 2008, and how banking as a business, at least in the US, will be reshaped by this crisis, and while I am more a dabbler than an expert in banking, I am going to try answering those questions.

Banking 98

Banking Equity Start-ups Treasury 98

Musings on Markets

OCTOBER 6, 2023

A few days ago, I valued Instacart ahead of its initial public offering , and noted that the reception that the stock gets will be a good barometer of where risk capital stands in the market, right now. To understand why, consider how fixed assets (such as plant and equipment and equipment) become part of the balance sheet.

Intangible Assets 126

Intangible Assets Book Value Equity Start-ups 126

Musings on Markets

FEBRUARY 27, 2022

In this post, I will look at corporate profitability, in all its different dimensions, and how companies across the globe, and across industries, measured up in the most recent years. IFRS and GAAP now treat as leases as debt, but that is still not the case in many other markets that are not covered by either standard).

Start-ups 99

Start-ups Equity Book Value Marketability 99

Musings on Markets

DECEMBER 10, 2021

One of the big news stories of last week was Jack Dorsey stepping down as CEO of Twitter, and the market's response to that news was to push up Twitter's stock price by almost 10%. In this section, I will begin by looking at the mythology behind this push, and why it does not hold up to common sense questioning.

Start-ups 99

Start-ups Marketability Technology Market Capitalization 99

Reynolds Holding

OCTOBER 21, 2024

What GameStop put on display was how much has changed—in technology and business models—since 2005 when we last comprehensively updated our equity market rules. The markets have moved to overwhelmingly trade electronically, with transaction volume in listed equities tripling in the last 17 years. [3] 6] The $55 trillion U.S.

Equity 45

Equity Marketability Start-ups Treasury 45

Valutico

JANUARY 17, 2023

The company has a leading position in the Southeast Asian market with their e-commerce platform Shoppee and their gaming offers by Garena. Sea currently has a market capitalization of $29.8 billion and $327 million respectively, up 39% and 141% year-on-year. As market sentiment changed globally during 2022, Sea Ltd.

Discounted Cash Flow 52

Discounted Cash Flow Market Capitalization Equity Start-ups 52

Musings on Markets

DECEMBER 10, 2023

We will then follow up with a framework for thinking about how key people can affect the value of a business, with practical suggestions on valuing and pricing key people. In public companies, the market reaction to the loss of key personnel can be an indication of how much investors priced the presence of those personnel.

Key Person Discount 128

Key Person Discount Start-ups Price to Book Marketability 128

Musings on Markets

FEBRUARY 16, 2024

Its impact is not just financial, but emotional and physical, and it predates markets. If you start enumerating every risk a business is exposed to, you will find yourself being overwhelmed by that list, and it is for that reason that I categorize risk into the groupings that I described in an earlier post on risk.

Risk Premium 76

Risk Premium Start-ups Beta Marketability 76

Musings on Markets

FEBRUARY 2, 2023

The first of the is as companies scale up, there will be a point where they will hit a growth wall, and their growth will converge on the growth rate for the economy. In short, I am assuming that the price cuts and cost pressures of the fourth quarter are more representative of what Tesla will face in the future, as competition steps up.

Start-ups 99

Start-ups Risk-free Rate Market Capitalization Risk Premium 99

Valutico

DECEMBER 4, 2023

Many Netflix originals prove to be performing well which is part of the reason why they expect their Q4 revenue to be $8.7B, up 11% year-over-year. Stock Market Implications In the recent past, most notably in 2020 and 2021, Netflix experienced considerable growth in the stock market. Youtube), Apple Inc. Amazon Prime Video).

Discounted Cash Flow 52

Discounted Cash Flow EBIT Start-ups EBITDA 52

Valutico

JANUARY 23, 2023

Weekly Valuation – Valutico | 23 January 2023 Link to valuation Source: WeWork, [link] About WeWork WeWork is a leading provider of co-working spaces for businesses of all sizes, from start-ups to large corporations, with a global presence of over 700 offices in more than 35 countries. Which will it be?

Discounted Cash Flow 52

Discounted Cash Flow Start-ups Market Capitalization Finance 52

Musings on Markets

APRIL 21, 2022

In the years since, those user numbers have grown, as can be seen in the chart below: In keeping with disclosure practices at other user-based companies, in 2017, Twitter also started tracking and reporting the users who were most active on its platform, by looking at daily usage, and counting daily active users (DAU).

Start-ups 113

Start-ups Marketability Technology Market Capitalization 113

Valutico

JANUARY 3, 2024

As per the statistics published by Nilson Report in May 2023, the market share of Visa in the total purchase transactions on global general card networks for 2022 was 39% whereas the shares of Mastercard and UnionPay were 24% and 34% respectively. billion (up 11% y-o-y) and GAAP net income of $17.3 billion (up 15% y-o-y).

Discounted Cash Flow 52

Discounted Cash Flow EBIT Start-ups Banking 52

Musings on Markets

MAY 7, 2023

While differentiating between good and bad banks can be straightforward, it does not follow that buying good banks and selling bad banks is a good investment strategy, since its success depends entirely on what the market is incorporating into stock prices.

Banking 91

Banking Price to Book Dividends Book Value 91

Andrew Stolz

JULY 5, 2021

It had to be able to stand up to rigorous scrutiny from finance academics and professionals. It had to be clear whether a company was moving up or down in that ranking. Started with 26,000 companies. It had to be a measure that, if improved, could be shown to increase the value of the business. What is a World Class Company?

Start-ups 52

Start-ups Finance Market Capitalization Marketability 52

Valutico

JULY 25, 2023

This inherent interconnection has given the new platform a head start, providing a massive user base at the get-go.It The success of Threads will hinge on its ability to one-up Twitter. Stock Market Implications Meta Platforms’ stock has been recovering steadily, now just 20% below its September 2021 peak.

Discounted Cash Flow 10

Discounted Cash Flow EBIT Start-ups EBITDA 10

Equilest

FEBRUARY 24, 2024

Get started now for free and unlock the power of Equitest to make informed decisions about your business's financial future. Register here to start using Equitest today. Get started now for free and unlock the power of Equitest by registering here.

Business Valuation 40

Business Valuation Discounted Cash Flow Book Value Liquidation Value 40

Musings on Markets

MARCH 25, 2021

The first quarter of 2021 has been, for the most part, a good time for equity markets, but there have been surprises. The Interest Rates Story To me the biggest story of markets in 2021 has been the rise of interest rates, especially at the long end of the maturity spectrum. for 2021 and inflation of 2.2%

Equity 52

Equity Risk-free Rate Treasury Start-ups 52

Musings on Markets

DECEMBER 2, 2020

On Monday, November 16, Airbnb filed it’s preliminary prospectus with the SEC, starting the clock on its long awaited initial public offering. In this post, I will argue that there are good reasons for Airbnb's IPO timing, and make my first attempt at valuing this latest entrant into public markets.

Start-ups 52

Start-ups Marketability Equity Market Capitalization 52

Chris Mercer

AUGUST 1, 2022

This 2008 version had information on 477 restricted stock transactions, up from 430 transactions in the 2004 version. There were 231 transactions after April 1997, when the SEC’s period of restriction was reduced from two years to one year (up from 182 transactions in the 2004 version). Conclusion.

Dividends 52

Dividends Appraisal Marketability Start-ups 52

Reynolds Holding

NOVEMBER 13, 2022

A lighter regulatory touch may be appropriate if markets have efficient price discovery. To identify efficient pricing, we start with the end point: the public company. Shares listed on a national exchange with sufficient market capitalization and trading volume attract the attention of institutional investors and analysts.

Banking 45

Banking Marketability Start-ups Market Capitalization 45

Musings on Markets

JANUARY 19, 2022

In a post at the start of 2021 , I argued that while stocks entered the year at elevated levels, especially on historic metrics (such as PE ratios), they were priced to deliver reasonable returns, relative to very low risk free rates (with the treasury bond rate at 0.93% at the start of 2021). The year that was.

Risk Premium 99

Risk Premium Risk-free Rate Start-ups Equity 99