A Special Place for Corporate Managers Industries Peaking and Keeping Attention

A Perspective on Valuation

Here’s how we think about valuation: The S&P 500 companies sell at 15x next year’s earnings, 3x book value, 11x cash flow, 1.5x revenues, have an ROE of 17 18% and have anticipated trend earnings growth of 8%. We’re looking for companies with equal or superior growth characteristics that sell at discounts to the market valuation.
Source: http://www.valueinvestorinsight.com/