ĐẦU TƯ GIÁ TRỊ – TÀI CHÍNH THÔNG MINH
This is a blog that shares knowledge about value investing and provide an online tool to evaluate the stock prices. This value investing is a combination of warren buffet’s theory, “margin of safety” of graham, and technical analysis. The technical analysis is for maximum the profits. The calculation is based on Mary Buffet’s one.
What is value investing?
Value investing is to attain a part of a good companies via buying stocks with market prices (entry prices) that is cheaper than their real values (undervalue)
The evaluation of company’s value is comprised of 03 steps as follows:
Step 1: Value the company is appraised via 10 points including economic moat, financials, risks, and business types . If the company obtains 7 points and above during the valuation, so it will be included in our stock list.
Step 2: Evaluate the entry price according to 03 methods such as book value, dividends, and growth rate. The ratio we will select will depend on the characteristics of the company.
Step 3: Technical analysis defines when will be the best time to buy stocks. This analysis is a support to the 2nd step and it will enable you to maximize your profits. This is a difference between value, market price, and entry price
Difference between value, market price, and entry price
Let’s take an example, value of VNM (vinamilk) is 40.000vnd/stock, the market price at this time is 130.000vnd/stock, and based on the technical analysis we can buy this stock at 38.000vnd/stock with 1 month.
Value is calculated based on the financial reports during the past 10 years.
Market price is the selling/buying price at that time. Normally, the market price will be higher than the real value whenever there is an optimistic in investors and the famous companies usually have this situation while the market price becomes cheaper if there is a pessimistic among investors, usually in the small companies.
Entry price: based on the technical analysics such as elliot waves, fibonancies, etc to define the good time and price to buy.