Value Investing François Rochon: "The Art of Investing: Analyzing Numbers and Going Beyond" | Talks at Google

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• François Rochon: "The Art of Investing: Analyzing Numbers and Going Beyond" | Talks at Google
• Graham's Number correction
• how much debt is too much debt?
• Best stocks to play (rising) oil?

François Rochon: "The Art of Investing: Analyzing Numbers and Going Beyond" | Talks at Google Posted: 05 Dec 2017 01:45 PM PST submitted by /u/moating [link] [comments]

Graham's Number correction Posted: 06 Dec 2017 03:42 AM PST Hello guys, Fairly new at all this so apologies if this question is dumb. Graham proposed (what is now Graham's Number) that a fair price can be deduced via the formula sqrt(22.5EPSBVPS). The 22.5 is based on the P/E ratio times 1.5 of the book value. The importance (and change) here is the P/E ratio, which he reversed (E/P) and correlated to the bond yield. In his day, the AA Corp. Bond Yield was about 7.5%, so 1/0.075=13.3 as P/E. Since bond yields are lower nowadays, it brings me to my question: How would I go about correcting this number? I am specifically struggling to find a good representative bond index and working it out from there. Could I take Vanguard's BND and assume the YTD Return is a good indicator (which is now 3.12%)? submitted by /u/SiTeHBu0mbb [link] [comments]

how much debt is too much debt? Posted: 06 Dec 2017 02:29 AM PST for an international group that increases its dividend every year for 50 year+. no real growth coming from the business for the last 10 years. their fcf (cfo - capex) cover the dividends until now. But then they also have to cover the dilution coming from the equity plan, pay for acquisitions and buy back some stocks (that s coming to an end though). debt has grown from 6 bln in 2009 to 30 bln today, yet the interest coverage ratio is at 12 or so. I am just wondering, this scheme can hold for quite some time and is actually a good decision (although you might wonder whether they could invest this debt in new businesses), but until when would you say it s too much? submitted by /u/zebulon101214 [link] [comments]

Best stocks to play (rising) oil? Posted: 05 Dec 2017 04:08 AM PST Appreciate recommendations of stocks that would be a good play on rising oil prices. Ideally: Low end of the cost curve Reasonable leverage About to exit a capex phase Thanks submitted by /u/time2roll [link] [comments]

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