I only value a company when they declare dividends... That is when we can say a certain entity has a certain value... Income Vs Assets Vs MC Vs Potential etc...
If valuations are so right why do we use a jury of analysts?
Say a certain entity is looked upon by 10 different analysts from different asset firms, institutions or banks:
5 say buy 3 say hold 2 say sell
That is all based on different opinions of potential future growth, assets etc including what they differently perceive as their personal valuations in their minds.. There is no exact mathematics that can decipher for us valuations or we would all be using programs and technology to take decisions... It is the same with property... I have seen houses with council valuations of 500k selling at 1.4m and those with 5m council valuations with buyers at 3m...
Based on the 10 analysts above 50% will buy and the 50% will push it under the rug... in terms of existing shareholders 80% will stay on and 20% will jump ship immediately with another 20% down the line eventually... It is different buy or sell triggers from across the board again perceived by us based on what analysts perceive... Valuation is not an exact mathematics but a perception...
AIMO
NOR Price at posting:
2.5¢ Sentiment: Buy Disclosure: Held
