How to value a company using net assets - MoneyWeek Investment Tutorials

Following on from his "3 ways to value a company" video, Tim introduces the first method called the 'net assets approach'. Along the way he explains how it works, how it helps investors, and also points out some of its pitfalls.

Пікірлер: 58

  • @MoneyWeekVideos
    @MoneyWeekVideos11 жыл бұрын

    As requested I'll be following this up with short intro videos on how to value a company using multiples and also one on DCF so watch this space if that's of interest to you. Tim.

  • @bilalaziz4346
    @bilalaziz434610 жыл бұрын

    Tim you make our lives easy.

  • @utkarshasthana3853
    @utkarshasthana38537 жыл бұрын

    I love your videos, I wish their was a more detailed version of them as well

  • @bestyouprointernational
    @bestyouprointernational7 жыл бұрын

    Excellent video. Thank you. We did not know this approach was better suited for a particular type of company. Thanks for the education.

  • @MichaelVeazey
    @MichaelVeazey11 жыл бұрын

    Thanks Tim. Clear exposition as ever. Yes please to DCF and multiples videos!

  • @MsCannible
    @MsCannible8 жыл бұрын

    Thank you Tim! You made my life simpler.

  • @DrivenByTheWind
    @DrivenByTheWind11 жыл бұрын

    Great video! Could you make a video, where you take an existing company and show where you find the necesssary information and show how you do the calculations to end up with a value estimation of the company?

  • @abdimahamud7267

    @abdimahamud7267

    4 жыл бұрын

    I really enjoyed the video after looking for information the whole day. It would have interesting if you used simplified case study in the future. Thanks in abundance.

  • @abender06
    @abender0611 жыл бұрын

    Thanks Tim. Very brilliant synthesis of the topic. Could you please do a video with your take on the sales comparison approach to valuing companies as well?

  • @WhiteDervish
    @WhiteDervish6 жыл бұрын

    Excellent lecture! Enjoyed every bit.

  • @anandmedhekar
    @anandmedhekar5 жыл бұрын

    Awesome... Simple and effective for beginners!

  • @letlotlomache1448
    @letlotlomache14486 жыл бұрын

    This is a truly helpful video. Many thanks Tim! I wanted to ask - would this be the approach to follow when you want to get to the net asset value per share figure? And is there a rule of thumb on a decent figure?

  • @mscervantesr466
    @mscervantesr4666 жыл бұрын

    I love your videos. You totally demystified valuing companies using net assets. Do you have any videos showing how to determine if a stock has a positive asymmetrical risk reward?

  • @PB-od8uk
    @PB-od8uk4 жыл бұрын

    Excellent video, simple to understand!

  • @The2005rwb
    @The2005rwb11 жыл бұрын

    Thanks for the excellent tutorial.

  • @raihansafa5514
    @raihansafa55142 жыл бұрын

    This is the best explanation i have come across. Thank u so much

  • @Nictus04
    @Nictus0411 жыл бұрын

    Tim! Do DCF in your next video :). Love your work!

  • @alief35
    @alief35 Жыл бұрын

    very mind opening and rule breaking, still relevant till this day

  • @1Torsten2
    @1Torsten210 жыл бұрын

    Great Video. Very easy to understand even for me as a foreigner. There is one question that comes to my mind though: where do I get the necessary information to make adjustments to the balance sheet (e.g. market value of machinery vs. depreciated book value or assets that don't appear on the balance sheet)?

  • @travellerxperience720
    @travellerxperience7206 жыл бұрын

    I AM VERY THANKFUL TO YOU TIM.

  • @ahmedtawfiq3625
    @ahmedtawfiq36253 жыл бұрын

    Great as usual 👌🏼👌🏼

  • @hirenpawar8337
    @hirenpawar83376 жыл бұрын

    Nice Explanation.

  • @TrishanPanch
    @TrishanPanch5 жыл бұрын

    This is great!

  • @adjoaaj7593
    @adjoaaj75939 жыл бұрын

    do you need to add patents and deductgoodwill?

  • @mundheral.askari3450
    @mundheral.askari34503 жыл бұрын

    Thank you so much Tim

  • @alexanderstamov2237
    @alexanderstamov22373 жыл бұрын

    Hi Tim, stupid question, but why would you only take the liability adjustments into account but not the full liability?

  • @Zapata20
    @Zapata2011 жыл бұрын

    Cheers Tim.

  • @tylernewton5289
    @tylernewton528910 жыл бұрын

    Excellent, thanks! But your collar in this video is seriously distracting me, my friend.

  • @vijayvivek5152

    @vijayvivek5152

    6 жыл бұрын

    Thank you for your comment, Now his collar is the only thing I can concentrate on in the whole video.

  • @Alice-gl6um

    @Alice-gl6um

    5 жыл бұрын

    @@vijayvivek5152 same...! lmao!!!

  • @AK-bo7yq

    @AK-bo7yq

    4 жыл бұрын

    Why would you do that to us ?

  • @adamclark447
    @adamclark4474 жыл бұрын

    I'm assuming once you have arrived at this net asset figure you would divide it by the number of shares outstanding to derive its fair/intrinsic value per share?

  • @lorenzmuller3542

    @lorenzmuller3542

    Жыл бұрын

    Yah

  • @mghazi9353
    @mghazi93534 жыл бұрын

    Thank you sir for your videos

  • @sambyrne9753
    @sambyrne97536 жыл бұрын

    When adjusting the net asset value can you arrive at a negative figure?

  • @kaumallose6198

    @kaumallose6198

    3 жыл бұрын

    If the liabilities worth than asset net asset figure will be negative

  • @trochetiaboutic5278
    @trochetiaboutic52783 жыл бұрын

    Tim is the BEST

  • @augustusg857
    @augustusg8572 жыл бұрын

    Hmmmm so a quick ratio writes off inventory. A quick ratio sees the inventory as an overstated the assets to find liquidity. Am I right in this,

  • @Boss-gk8kc
    @Boss-gk8kc5 жыл бұрын

    How do you value goodwill?

  • @ekbatanman
    @ekbatanman7 жыл бұрын

    Thanks

  • @Snowy123
    @Snowy12311 жыл бұрын

    Hey Tim how is trading this week doing for you?

  • @mccullumdamps5785
    @mccullumdamps57854 жыл бұрын

    Can you do an example

  • @user-pu4jj9jg5w
    @user-pu4jj9jg5w4 жыл бұрын

    Please help me any one please What the factors that asset value depends on

  • @kaumallose6198

    @kaumallose6198

    3 жыл бұрын

    Fix assets valuation, cash flow value, pay receivables

  • @Twins2011
    @Twins20112 жыл бұрын

    Power-packed vid but was watching un 0.75x speed to match :)

  • @NickVanzwol
    @NickVanzwol6 жыл бұрын

    Why does your shirt change in this video lol

  • @andrecamacho7660
    @andrecamacho7660 Жыл бұрын

    this method is used for low pperformig companies ... witch have no/low profit.. and gooing to bankrupcy in the next 3..4 years. - this is the approach to valuate the 1$ businesses - businesses that cant be valued on future earnings... on cash flows ...or any other performance methode because there is no performance...only assets. - it can be used in real state where assets is the business it self

  • @audreytorres7414
    @audreytorres74147 жыл бұрын

    The

  • @sarthakbaral5308
    @sarthakbaral53085 жыл бұрын

    collar :(

  • @xbrakx
    @xbrakx2 жыл бұрын

    3 Methods: kzread.info/dash/bejne/i3tpk9COiqXZeLg.html

  • @enricocagliari706
    @enricocagliari7066 жыл бұрын

    Oh my god how long this class was... 10 minutes to tell me that I have to pay for the net value of what I am buying and to verify that numbers in the balance sheet represent the real value. Everything ok but, 10 minutes???? You don’t respect the value of the time of people who watch your video. Please, next time go straight to the point.

  • @haiduongle9078
    @haiduongle90783 жыл бұрын

    It would be more helpful if you could used a real company as an example, just a thought....

  • @mesho0o707
    @mesho0o7074 жыл бұрын

    Am i blind or you look a little bit like Christian bale

  • @Benzknees
    @Benzknees11 жыл бұрын

    Why...do...you..speak...like that...

  • @meditation6290
    @meditation62906 жыл бұрын

    sir you make a viodes in hindi. so I can thinking about your subscribe is 60000 more add.