Book value = function(discounted cash flows). Initial values are at cost and then assessed up/down by the directors every reporting date using independent valuations.
There are two scenarios to play with
1. Valuation as a going concern
2. Valuation under liquidation/buyout
If you think scenario 1, then you make your valuation based on how impaired you think future cashflows are going to be using current book value as a reference point.
If you think scenario 2, you can't exactly use the book value because someone else is going to have a different income yield and a lot of ppe will be written off.
It's not "clearly undervalued" - there is always the risk that books have been cooked for a while and smart money is out - but unlikely and at these prices worth a punt imo. Income is going to take a hit (how much is up to you to figure out), but unlikely to drop to the point of liquidation given how many people are still going to Westfield.
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$3.15 |
Change
0.050(1.61%) |
Mkt cap ! $16.36B |
Open | High | Low | Value | Volume |
$3.12 | $3.15 | $3.11 | $39.53M | 12.62M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
1 | 17858 | $3.14 |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
$3.15 | 64789 | 2 |
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No. | Vol. | Price($) |
---|---|---|
1 | 17858 | 3.140 |
2 | 53965 | 3.130 |
10 | 94492 | 3.120 |
4 | 156953 | 3.110 |
2 | 32858 | 3.100 |
Price($) | Vol. | No. |
---|---|---|
3.150 | 31043 | 1 |
3.160 | 67452 | 2 |
3.170 | 36966 | 2 |
3.180 | 45900 | 4 |
3.190 | 28422 | 5 |
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