Originally Posted by
winner69
Acid man .... another variant of owners earnings is MVA ... Market Value Added where MVA is the NPV of future economic value added
I reckon RBD will make $23m over and above its cost of capital this year (economic value added) and using this would give a MVA of about $240m which implies a share price of just under $3
Good one eh .... and if Taco Bell was bought to NZ you would have to add that to the share price
As a matter of interest RBD is one of very few companies in NZ that has always (even when it was only making $10m) made more than its cost of capital .... not a bad feat