Beyond Earnings: Applying the HOLT CFROI and Economic Profit FrameworkBeyond Earnings is targeted at investors, financial professionals, and students who want to improve their ability to analyze financial statements, forecast cash flows, and ultimately value a company. The authors demonstrate that reported earnings are easily gamed by accounting shenanigans and reveal how commonly used profitability measures such as return on equity can be misleading. Because earnings and P/E ratios are too unreliable for valuation, this book takes you beyond earnings and shows you how to apply the HOLT CFROI and Economic Profit framework in a step-by-step manner. A better measure of profitability results in improved capital allocation decisions and fundamental valuations. This ground-breaking book offers the first practical in-depth discussion of how profitability and growth fade, and shows how to put this information to work right away. The authors introduce their trailblazing Fundamental Pricing Model which includes fade as an adjustable value driver and can be used to value the impact of business model disruption. As the authors explain, the key to superior stock picking is understanding the expectations embedded in a stock’s price and having a clear view of whether the company can beat those expectations. The HOLT framework has been rigorously field tested for over 40 years by global investment professionals to help them make better stock picks and by corporate managers to understand the expectations embedded in their stock price. Beyond Earnings is an indispensable guide for investors who want to improve their odds of outperforming the competition. |
From inside the book
Results 1-5 of 89
... total systems, CFROI approach to valuation, Holland and Matthews offer theoretical and implementation insights about valuation that are missing from mainstream finance. The HOLT valuation technology is now an integral part of the ...
... Total Depreciating Assets Non-Depreciating Assets Asset Life Gross Plant Asset Life Life of Capitalized Operating Leases Capitalized R&D Life Calculating the Life of Depreciating Assets Gross Cash Flow Net Income after Tax Depreciation ...
... Total Investment Debt and Equivalents Valuing Different Forecast Scenarios for Amazon in the HOLT Framework Valuing Air Liquide in HOLT Lens Quantifying the Value and Risk of a Company's CAP Key Learning Points Introduction The Worst ...
... total. return. for. the. S&P. 500. over. the. same. period." Amazon surpassed the mighty Wal-Mart in 2015 as the most valuable retailer in America. Despite this stellar performance, Amazon regularly posts poor earnings numbers and a subpar ...
... total NPV of all present and future investments. The relationship is one-to-one and connects project economics to corporate valuation. A relentless focus on this connection will lead to improvements in capital allocation for corporate ...
Contents
Discounted Cash Flow and Economic Profit Valuation | 111 |
Value Driver Forecasting | 255 |
Index | 363 |
EULA | 384 |