Posts in Intrinsic Value to Price

Intrinsic value analysis works, kinda

After next week’s monthly review of the Thrifty 30, I really need get back to uncovering undervalued companies. The question is will I use the newfound residual income model, which compares market value to intrinsic value?

Calculating the intrinsic value of Diploma

I suppose this day had to come.

Intrinsic value: the holy grail of value investing

If you think market valuations of companies are sometimes wrong then implicitly there must be correct values for those companies. If only you could work them out out you would truly be in the money. You would, in the vernacular of value investors, be buying dollars for 40c.

But the intrinsic value of a company now, depends on what it does in the future. If it goes on to make a lot of money, it’s worth a lot now. If its future lies in the hands of the administrator it’s not worth much.