"Q. What about a company that doesn't grow but has high NPAT $...

"Q. What about a company that doesn't grow but has high NPAT $ and it all shifts to equity and becomes a net net? How does that get valued?"

That is the simplest case for valuation by discounted future earnings or discounted future cash flow. Hence the comparison to a bond. Part of the reason for low valuations on equities currently is the prevailing high inflation & interest rates which determine the discount rate applied in these models. If exponential growth is factored into these models you can get extraordinary valuations.

I fully agree that DSK is grossly undervalued even on the assumption of zero growth. The market is actually factoring in long-term contraction (extrapolating recent trading conditions indefinitely into the future), which is what I was referring to in the last sentence of my previous post.

Part of the point I was trying to make was also the undue focus in the market on growth. It's a kind of mania, with investors seeking out the next big thing and all frantically piling in when they think they have found it. The reason why there is so much attention paid to internet stocks is the extreme scalability that is possible with that business model. DSK can never scale in that way. The fact is, few businesses can. So I was questioning the wisdom of DSK continuing to scale up in a finite market (Australia), and looking at alternative growth strategies.

All IMO.