Stock and Value
Market value
| term | description | formula |
| Price | Current price per outstanding share/receipt. | |
| x Days Simple Moving Average | The average closing price of the last x trading days. | |
| Price target | One year target of the stock price, based on analysts target, historical price multiples and Intrinsic Value. | Median of:
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| Uncle Stock Price target | One year target of the stock price, based on historical price multiples and Intrinsic Value. | Median of:
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| Analyst Price target | Median one year price target of analysts, based on analysts target, historical average valuation and Intrinsic value. | |
| Price growth | Price evolution of the past 12 months | |
| Annualized Total Return | The annualized money earned by an investment each year over a given time period. | (Price t2 + Net Dividend [t1-t2] − Price t1) ÷ Price t1 |
| Price vs ma | Price versus moving average. | (Price − Price.ma type) ÷ Price.ma type |
| Moving Average Slope | Slope of a Moving Average, as the relative change of the moving average over 10 days. | (Price.ma type − Price.ma type(10 days ago)) ÷ Price.ma type(10 days ago) |
| Moving Average Growth | One year growth of Moving Average. | (Price.ma type − Price.ma type(1 year ago)) ÷ |Price.ma type(1 year ago)| |
| Price vs top | Price versus top. | (Price − Price.top) ÷ Price.top |
| Normalized MACD | Difference in percent between two moving averages. | |
| Golden Cross | Growth of difference in moving average if they crossed the last 10 days. |
|
| Relative Strength Index | A momentum indicator that measures the magnitude of recent price changes to analyze overbought or oversold conditions. | |
| Money Flow Index | A technical oscillator that uses price and volume data for identifying overbought or oversold signals in an asset. | 100 − 100 ÷ (1 + Sum of positive Daily Money Flow over period ÷ − Sum of negative Daily Money Flow over period. Daily Money Flow = sign of Price.day change × Typical Price × Volume. Typical Price = average(Price.day min, Price.day max, Price.close). |
| Sharpe ratio | A measure of excess return earned by investment per unit of total risk. (geometric) | (Price.CAGR − riskFreeRate(company currency)) ÷ Price.GSD60d
With
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| Sortino ratio | Measures the risk-adjusted return of an investment. (geometric) | (Price.CAGR − riskFreeRate(company currency)) ÷ Price.DR%
With
|
| Short term reversal | % change against 50d moving average, if opposite to last year price direction. Otherwise 0 | |
| Long term reversal | % change against 200d moving average, if opposite to last year price direction. Otherwise 0 | |
| Beta | Equity Beta is a measure of the volatility, or systematic risk, of a security in comparison to world index. The time period for Beta is 5 years. | |
| Fractal Efficiency Ratio | Derived by dividing the net change in price movement over n periods by the sum of all component moves, taken as positive numbers, over the same n periods. | Price.xd change ÷ sum over x days of abs(Price.day change) |
| Volume | The total quantity of shares traded for a specified security. | |
| Dollar volume | The total value of the shares traded. | Volume.average volume × Price |
| Market cap | Market capitalization of common shareholders | Price × Adjusted Total Common Shares Outstanding |
| Financing | Total market value of the firm's financing. | Market cap + Total Debt and Lease |
| Enterprise Value | Think of enterprise value as the theoretical takeover price. Also called firm value or total enterprise value (TEV). | Market cap + Net debt + Preferred stock + Non-Controlling Interest |
| Enterprise Value' | Think of enterprise value as the theoretical takeover price. Also called firm value or total enterprise value (TEV). Classic formula. | Market cap + Net Debt' + Preferred stock + Non-Controlling Interest |
Intrinsic value
A measure of what an asset is worth. This measure is arrived at by means of an objective calculation or complex financial model.
| term | description | formula |
| Total Owner Return | The annualized book value gain plus dividends. | (Common Book Value t2 + Net Dividend [t1-t2] − Common Book Value t1) ÷ Common Book Value t1 |
| Net Owner Return | The annualized book value gain plus dividends minus equity charges. It is the intrinsic value return in excess of the required rate for the risk taken. | (Common Book Value t2 + Net Dividend [t1-t2] − Equity charge [t1-t2] − Common Book Value t1) ÷ Common Book Value t1 |
| Intrinsic value | The value of a security which is intrinsic (fair) to or contained in the security itself, calculated based on a set of methods. | average of:
|
| Intrinsic value (DCF FCF) | Intrinsic equity value based on discounted cash flow (unlevered DCF) analysis, which uses future free cash flow projections and discounts them to arrive at a present firm value. |
Present equity value = sum of
|
| Intrinsic value (DCF OE) | Intrinsic equity value based on discounted Owner Earnings (levered DCF) analysis, which uses future Owner Earnings projections and discounts them to arrive at a present firm value. |
Present equity value = sum of
|
| Intrinsic Value (DCF OE linear) | Intrinsic equity value based on discounted Owner Earnings (DCF) analysis, which uses linear regression to determine future cash flow projections. |
Present equity value = sum of futureYear over 100 future years of
(slope × (futureYear − 1900) + intercept)
÷ (1 + discountRate)futureYear − this year
|
| Intrinsic Value (DCF OE quadratic) | Intrinsic equity value based on discounted Owner Earnings (DCF) analysis, which uses quadratic regression to determine future cash flow projections. |
Present equity value = sum of futureYear over 100 future years of
(a × (futureYear − 1900)2 + b × (futureYear − 1900) + c)
÷ (1 + discountRate)futureYear − this year
|
| Intrinsic Value x years payback | Intrinsic Value based on a x years payback period using linear regression of Adjusted Operating Income After Interest. |
Present equity value = Common Book Value + sum of futureYear over x future years of
(slope × (futureYear − 1900) + intercept)
× (1 − Marginal tax rate)
|
| Intrinsic Value (DCF OE regression) | Intrinsic equity value based on discounted Owner Earnings (DCF) analysis, which uses the most conservative of linear and quadratic regression to determine future cash flow projections. | min(Intrinsic Value (DCF OE linear), Intrinsic Value (DCF OE quadratic)) |
| Intrinsic value (DCF FCF) no growth | Intrinsic equity value based on discounted cash flow (unlevered DCF) analysis, which uses no growth future free cash flow projections and discounts them to arrive at a present firm value. To be used as anchor point for valuation. | Present firm value = Free Cash Flow to the Firm ÷ WACC − Net debt − Non-Controlling Interest − Preferred stock |
| Intrinsic Value (Buffett) | Intrinsic value calculated by taking present book value and dividends (Dividend Discount Model), applying the established growth rate to determine future book value and dividends. |
sum of
|
| Intrinsic Value (Hold 5 years) | The real present value of a stock as the sum of the predicted price in 5 years, plus dividends collected in this period, all discounted to present value. |
sum of
|
| Intrinsic Value (Residual Income Model) | Intrinsic equity value using the residual income approach, taking the sum of the book value and the present value of expected future residual income. |
sum of:
|
| Rate of Return (Buffett) | The return an investment is expected to generate, calculated as the discount rate that makes the Intrinsic Value (Buffett) equal to the stock Price. | discount rate for which Price = IntrinsicValue(discount rate) |
| Earnings Power Value | A valuation technique popularised by Bruce Greenwald, using a very basic equation which assumes no growth, although it does rely on an assumption about the cost of capital as well as the fact that current earnings are sustainable. | Normalised Operating Income ÷ WACC |
| Earnings Power Value of Equity | Equity value based on Earnings Power Value. | Earnings Power Value − Net debt − Non-Controlling Interest − Preferred stock |
| Intrinsic Value based on EBITDA | Intrinsic Value estimate based on an EV/EBITA expectation of 7.5. | 7.5 × EBITDA − Net debt − Non-Controlling Interest − Preferred stock |
| After-Tax Cost of Debt | The net cost of debt determined by adjusting the effective interest rate a company pays on its debts for its tax benefits. | riskFreeRate(company currency) + bondRate − riskFreeRate(USD) + 0.25% × (4 − Financial Health score as integer between 0 and 4) × (1 − Marginal tax rate)
|
| Cost of Equity (CAPM) | A shareholder's required rate of return on an equity investment. Under Capital Asset Pricing Model (CAPM). | riskFreeRate(company currency) + max(0, min(2, Beta)) × Equity Risk Premium With
|
| Cost of Equity (DDM) | A shareholder's required rate of return on an equity investment. Under Dividend Discount Model. | Dividend yield + Traditional Gross Dividend.15y rCAGR 67% |
| Equity charge | The value of equity capital multiplied by the cost of equity. | Cost of Equity (CAPM) × Common Book Value |
| WACC | The weighted average cost of capital (WACC) is a measure of a firm's cost of capital in which each category of capital is proportionately weighted. | Equity Financing ratio × Cost of Equity (CAPM)
+ Debt Financing ratio × After-Tax Cost of Debt
|
| Intrinsic Value (Lynch) | The value of a security which is fair (intrinsic) to or contained in the security itself, based on Peter Lynch's famous rule of thumb: He is willing to buy a growth company at a P/E multiple that is equal to its growth rate. | EBITDA.rCAGR × Earnings Per Share |
| Adjusted Intrinsic Value (Lynch) | Intrinsic value (Lynch), adjusted for low interest rates. | fairPEG(EBITDA.rCAGR) × EBITDA.rCAGR × Earnings Per Share
where fairPEG(growth) = min(3, 0.5 × (10 × growth - 1.5)² + 1.98) |
| Intrinsic value (Graham formula) | The value of a security which is intrinsic to or contained in the security itself, calculated using Graham's formula. |
Earnings Per Share × (7 + 100 × ln(Earnings Per Share.15y rCAGR 67% + 1) × 4.4 /
20 year A corporate rate,
where Earnings Per Share.15y rCAGR 67% capped to 15%. |
| Intrinsic Value (O'Malley formula) | Intrinsic Value according the formula proposed by Conor O'Malley, a user of Uncle Stock, as a variant of Grahams's formula. | Predictive Owner Earnings × (15 + 10 × Owner Earnings.15y rCAGR 67%) × 4.4 / 20 year A corporate rate. |
| Graham number | The Graham number measures a stock's so-called fair value. | sqrt(22.5 × Earnings Per Share × Common Tangible Book Value) |
| Intrinsic Value (Value Driver Formula) | Intrinsic Value according McKinsey's Value Driver Formula, which considers value as the result of the interplay between cash-generation, reinvesting, and growing the business. |
(Cash-NOPAT × (1 + growth)
× (1 − growth ÷ Cash Return on Invested Capital (CROIC).5y avg))
÷ (WACC − growth)
where g1 = min(0.8 × WACC, Cash Return on Invested Capital (CROIC).5y avg × Reinvestment rate'.b/on 5y) and growth is derived from g1:
|
Shares
| term | description | formula |
| Total Shares Outstanding | Total number of shares that have been authorized, issued, and purchased by investors and are held by them. Refers to real, home-country shares. | Common shares outstanding × (1 + Preferred Stock ÷ Book Value) |
| Total Common Shares Outstanding | Total number of common shares that have been authorized, issued, and purchased by investors and are held by them. Refers to real, home-country shares. | |
| Adjusted Total Common Shares Outstanding | Total Common Shares Outstanding, adjusted with a factor to be usable to transform between company metrics and stock metrics, as needed for depository receipts (ADR, GDR) and multiple share classes. Not diluted. | |
| Weighted average shares outstanding (WASO) | The weighted average number of shares or units issued and outstanding that are used by the company to calculate EPS. Diluted. | |
| Buyback ratio | The amount of cash paid by a company for buying back its common shares over the past year, divided by its market capitalization. | −Common stock issued (repurchased) ÷ Market cap |
| Share Turnover | A measure of stock liquidity calculated by dividing the total number of shares traded over 3 months by the average number of shares outstanding for the period. | |
| Floating Stock | The number of shares available for trading. | |
| Float % | The percentage of Total Common Shares Outstanding which are freely floated on the stock exchange. | Floating Stock ÷ Total Common Shares Outstanding |
| Short percentage of Float | The ratio of tradable shares being shorted to shares in the market, or the float. | |
| Short-Interest ratio | The number of shares sold short (short interest) divided by average daily volume. This is often called the days-to-cover ratio | (Short percentage of Float × Floating Stock) ÷ Volume.average volume |
| % held by institutions | The percentage of shares outstanding held by institutional investors. Institutional investors are organizations that trade securities with large amounts of money. | |
| % held by insiders | The percentage of shares outstanding held by insiders. An insider is a person who has potential access to non-public information about the company. | |
| % held by executives | The percentage of shares outstanding held by key executives of the company. | |
| Number of analysts | Number of analysts providing stock estimates. |
Macroeconomic indicators
| term | description | formula |
| Inflation | Measure of the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services. By home country of company. |