Share Value Calculator: The aim of this calculator is to estimate a value of a share based on the inputs supplied by the user. Note the valuation supplied is not a binding one and users should still consult their financial advisors/planners.
There are many different stock valuation methods out there. Some of the most well known ones include: Dividend Discount Model, Discounted Cash Flow Method, Price Earnings to Growth methods etc.
The ultimate aim of all of these types of calculators is to estimate a value for a specific company or share and to use that as a guide in order to determine whether a particular company/share is a good buy based on its current price, or in order to determine whether it is time to sell the share, if valuation models shows the share is currently trading above its estimated value.
There are many different stock valuation methods out there. Some of the most well known ones include: Dividend Discount Model, Discounted Cash Flow Method, Price Earnings to Growth methods etc.
The ultimate aim of all of these types of calculators is to estimate a value for a specific company or share and to use that as a guide in order to determine whether a particular company/share is a good buy based on its current price, or in order to determine whether it is time to sell the share, if valuation models shows the share is currently trading above its estimated value.
We are long term fundamental investors and we tend to look at the strength of a company's balance sheet, its cash generating capacity, how far off its book value or net asset value it is trading (as the net asset value is your safety net. If the company has to be liquidated theoretically each shareholder will receive an amount close to the stated net asset value). These days technical analysis seems to be the tool of choice used by those actively participating on the stock market, but this should be used as a guide to determine entry and exit points for shares, and not as a tool for deciding which shares to buy. For that we firmly believe in using fundamental and financial analysis.
Enjoy playing with our PEG share valuation calculator below.
Enjoy playing with our PEG share valuation calculator below.
The calculator is largely based on PEG ratio. Which is Price/Earnings to Growth Ratio.