Hi O&G, Most of Morningstar's FVE's for small cap stocks such as...

Hi O&G,

Most of Morningstar's FVE's for small cap stocks such as DXB, are based on statistical algorithms, rather than actual analyst coverage. The FVE is obviously their estimate of the per share dollar amount that the company's equity is worth today. If your keen on getting into the detail, you can get it from the link below (it's all free to download/view and read at your leisure) - Hope the link works - I'm pretty new to HC!.

http://global.morningstar.com/equitydisclosures

Personally, I don't read much into the FVE's for small/micro caps - but I think they do have some merit when your looking at mid to large market cap companies - that are actually covered by analysts (Its a good measure of what the "herd" might be thinking...sometimes they even get it right!)

Happy reading,