OK, a bit late to the party but here's what I look at:
1) Calculate cash flow (EBITD)
2) Calculate total market value of the company (equity + debt - net cash)
3) Calculate price/cash flow.
4) Look at consensus growth rates for earnings/cash flow for the next 5-10 years.
5) Multiply by 100
6) Calculate Price/cashflow divided by 5 above.
7) My buy targets are values of 6) above of 0.7 or less. Sell target is above 1.0.
1) Calculate cash flow (EBITD) 2) Calculate total market value of the company (equity + debt - net cash) 3) Calculate price/cash flow. 4) Look at consensus growth rates for earnings/cash flow for the next 5-10 years. 5) Multiply by 100 6) Calculate Price/cashflow divided by 5 above. 7) My buy targets are values of 6) above of 0.7 or less. Sell target is above 1.0.