tsx:IDG Here’s Why This Doomed Stock Could Bolt 68% Higher

guru said:
https://www.fool.ca/2019/08/06/heres-why-this-doomed-stock-could-bolt-68-higher/
“The underlying tangible assets are estimated to be worth $13.64 per share, which is nearly 68% higher than the entire company’s market value.”
More...
It's probably worth a refresher in how book value of assets is determined from a financial accounting perspective. If you owned the worlds only buggy whip manufacturing machine in 1915 and were using the cost model you could probably get away with carrying it at the $X million you paid for it minus depreciation under GAAP. Even though the rest of the world could clearly see the thing was effectively obsolete and in an asset sale would fetch scrap value.
 
You must log in or register to reply here.
Back
Top