| User | Post |
|
2:30 pm
June 30, 2010
|
MrBook
| | |
| Member | posts 30 |
|
|
Post edited 2:31 pm – June 30, 2010 by MrBook
Hey Guys & Gals it's MrBook. For a great web page and book on the perils of WACC, Beta, CAPM and conventional finance theory in general check out: http://www.efalken.com/ Then you can either read Eric Falkenstein's new book "Finding Alpha" or for about 8 hours of your time you can click on the videos on the front page of his web page and watch his new book via video.
The bottom line is that the Equity Risk premium is a red hearing and their is no risk premium! Keep the material from this site in mind the next time you are doing Discounted Cash Flow analysis to find the NPV of a company you are valuating!
I look forward to discussing the contents of this site!!
|
|
|
9:45 am
April 26, 2010
|
Jae Jun
| | |
| Admin
| posts 1336 |
|
|
Yup I'm very aware of Robert. He has left a few very lengthy intelligent comments here as well.
Very smart and sharp guy.
As for logging in issues, just press CTRL+F5 next time.
There are cache issues that I can't figure out.
|
|
|
9:42 am
April 26, 2010
|
dmop12
| | |
| Member | posts 39 |
|
|
All of the stocks I checked using the website had similiar numbers to what is being used in the spreadsheets. I couldn't find where he was retrieving his information though. I started plugging in various ticker symbols to check their WACC against what I was using as my discount factor and I noticed that there were quite a few small cap stocks whose B/S and I/S info wasn't pulling up. Most of the time the WACC number was smaller than what I was using but I found it to be relatively close when the site had all the numbers for the computation. As stated before I use WACC mainly for assurance of the d-count factor I am currently using. If the two numbers vary, I write a list down of why I am using said rate. It's a learning process for me.
By the way, I'm sure you've heard of Robert T Crawford's weblog at (shttp://rcrawford.wordpress.com/), if not you should check it out. He has some great articles on CROIC, WACC, FCF, OE, etc. It's really in depth analysis and I usually end up reading it 4 or 5 times but its great.
Are any of you guys having trouble logging in to post? For some reason I was unable to log in all weekend.
|
|
|
2:17 pm
April 24, 2010
|
Jae Jun
| | |
| Admin
| posts 1336 |
|
|
Thanks for the link. I'm sure others will find it useful.
Although I don't use WACC myself, I checked the calculations from my spreadsheet and the site and it seems like the website numbers are too low.
What do you think? Have you double checked the numbers?
|
|
|
5:17 pm
April 23, 2010
|
dmop12
| | |
| Member | posts 39 |
|
|
I have recently started using WACC as a component of finding an appropriate discount when valuing a company. The address above will take you to a site dedicated to WACC. All you have to do is type in the ticker symbol. If anything, you can use it to double check the discount rate you are using currently.
|
|
Home
