... All rights reserved. This book, or any part thereof, may not be used or reproduced in any manner without written permission from: Lidija Rangelovs... ...uction II. The Value of Stocks of a Company III. The Process of Due Diligence IV. Financial Investor, Strategic Investor V. The Myth of the Earnin... ... on leverage; and by cooking the books). The second open secret is that all modern financial markets are Ponzi (pyramid) schemes. The only viable ... ...t - and so were privatizers in developing countries. What price should state-owned companies have fetched? This question is not as simple and strai... ...sales. New information, macro-economic and micro-economic, determines the value of companies. Greenspan testifies in the Senate, economic figures a... ...ecause "free" cash flow can be easily extracted from these reports, stock valuation based on free cash flow became increasingly popular and feasibl... ...ompetitive environment. • A vision of the business in the future. • Products and services and their uses. • Comparison of the firm's products an... ...• Warranties, guarantees and after-sales service. • Development of new products or services. • A general overview of the market and market segmen... ...considerations of "expected liquidity" do not constitute an explicit part of income-based models, the market will render them increasingly irrelevan...