Sberbank's investors are very optimistic about the company.

They evaluate the stock based on the best slope angle of the linear approximation.

Figure 1.

But it's worth remembering that growth is always limited by investment potential.

How can this be described?

Physically, any movement always has two vectors: an active kinetic motion vector and a passive potential motion vector ... Читать дальше »

Returning to MTS, how the stock exchange evaluates its share depending on sentiment and expectations.

Rosneft is too expensive on the stock exchange.

Investors do not like and do not know how to evaluate a company based on two vectors.

But there are always two of them - income and obligations.

One vector, which is income, is not a point for a complete assessment.

Figure 1.

MTS is getting worse and worse.

The company cannot pay the dividends it pays.

Figure 1.

Incomes are not growing as much as liabilities and equity has turned negative.

Figure 2.

Investors risk getting into big trouble here.

The company is in good condition.

All indicators move without sudden changes, and the dividends are stable.

Figure 1.

The quotes are predictable, and it is quite suitable for trading.

Figure 2.

Unipro investors have little chance of receiving dividends before the 31st year.

Figure 1.

Thus, the task is to somehow evaluate the company without dividends.

And here, in my opinion, there are two options.

Use a strict FCF, which should be linearly approximated and extended for the next seven years.

Or use a simple arithmetic average of the normal free cash flow line for past years a ... Читать дальше »

Inflation and government spending remain high.

Fisher's famous formula, which describes the relationship between money and commodity prices, has obvious problems.

What's wrong?

The formula:

Quantity of goods * Price of goods = Velocity of money * Money

In this formula, we have a description of a linear scalar process that never exists in real life, and we have a measurement that can only be applied when we calculate the average velocity over an indefinite period of time.

... Читать дальше »

A contradictory situation has developed at RAO UES of Russia.

On one hand the operational income is decreasing, but on another hand, company has a good cash reserve and receives good interest income.

In any case, the point of the valuation is the free cash flow and potential dividends that can be paid.

And here we also face a contradiction, since the cash reserve allows us to pay large dividends, and the strict FCF shows beautiful numbers, but the real dividends are small, and the latest FCF for the 24th year ... Читать дальше »

Weekly inflation spins around an average line in 10 percent.

M2 monetary aggregate slightly lows to 18,7 %.