Three ways to value a company

Valuing a company is more art than science. Tim Bennett explains why and introduces three ways potential predators and investors alike can get started.

Videos from this series

• How to value a company using net assets
• How to value a company using multiples
• How to value a company using discounted cash flow

Related videos

• Warning: the City’s formula for pricing shares is bust
• What is a balance sheet?
• What is the price-to-sales ratio?
• A beginner’s guide to p/e ratios

Video tutorial - why profit margins matter

Why profit margins are really useful

In this video, Ed Bowsher explains how to calculate a company’s profit margin, why it is the best way to evaluate profitability, and how you can use it when analysing a company.

Video tutorial: why hedge funds can be good news

Why hedge funds can be good news

Hedge funds perform a valuable service by weeding out overvalued shares. In this video, Ed Bowsher explains some of the things they look for when they’re hunting for shares to short.

Video tutorial - what is the current ratio?

What is the ‘current ratio’?

In his latest video, Ed Bowsher looks at the current ratio, which can help you see whether a company has sufficient resources to pay its bills in the near future.

Click here to see all the MoneyWeek video tutorials


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