Comments on: Fair Value Data *

By: D4L

D4L — Sun, 28 Mar 2010 21:24:18 +0000

Determining fair value is messy. When the company I work for does a large acquisition, we hire a third party to help us peg the fair value of assets. Generally, it takes about a year and our valuation people end up “debating” the fair values with our auditor’s valuation people. Leaving it at book value is not only easier, but it is also more conservative.

Best Wishes,
D4L

By: cliff

cliff — Sun, 28 Mar 2010 15:58:50 +0000

i beleive in the formul and the theory expect for one thing. Should book value be adjusted ror fair value? For instance, if a company bought a building or a large track of timber land 40 years ago, we could assume those values increased so that would understate the book value. Have you considered this or found and good sources that discuss this?

By: Quebec

Quebec — Fri, 30 Oct 2009 21:19:33 +0000

Hello.

If you take the Ave. HIGH Yield Price as an indication of fair value, why don’t you consider the LOW p/e price (average low p/e over 5 yrs * ttm EPS) rather than an AVERAGE p/e price which involves the “5-year average of high and low P/E” times ttm EPS?

This would be more conservative…

By: Dividends4Life

Dividends4Life — Sat, 17 Oct 2009 13:18:02 +0000

Sam: My primary sources are Morningstar, Yahoo Finance and S&P. The first two are freely available on the internet.

Best Wishes,
D4L

By: sam

sam — Fri, 16 Oct 2009 16:39:42 +0000

Hi, I used to use Bloomberg to get my raw data. Now that I do not have a job, no Bloomberg anymore. Where can I get the information? Thanks

By: Dividends4Life

Dividends4Life — Sat, 17 Jan 2009 18:59:00 +0000

Anon: I actually pull Tangible Book Value from a S&P report. It is calculated by taking total assets less all intangibles (including goodwill).

Best Wishes,
D4L

By: Anonymous

Anonymous — Fri, 16 Jan 2009 05:19:00 +0000

How do you calculate Tangible Book Value, is it just Book value with Goodwill subtracted from total assets?

By: Dividends4Life

Dividends4Life — Sun, 30 Mar 2008 00:07:00 +0000

Guppy: Thank you for reading my blog and your kind words!

Best Wishes,
D4L

By: Guppy

Guppy — Sat, 29 Mar 2008 15:20:00 +0000

I have been reading your blog for the last 2 – 3 months. I am a pretty new investor and the information presented is awesome. Gives an insight on what other investors do and gives me a great starting point for my research. Thanks