Here are two fine posts I think will be very helpful in the valuation of companies. The first comes from Barel Karsan regarding returns on equity and how they are sometimes not what they seem to be. The second comes from Old School Value and talks about Ben Graham’s simple method of valuing a company and explains the process of modernizing the equation.
In addition to considering liquidation value, discounting cash flows, and-sum-of-the-parts analysis, I should also use Graham’s simple method as another tool in gaining a better understanding of a company’s probable value.
Thanks for link and rec Doug