Archives for Markets - Page 2
A useful snapshot of market value is the trailing price to earnings ratio (P/E). some look at forward P/E’s, but this includes future earnings estimates which may be in error. However, a problem with the standard 12 month trailing P/E is that abrupt market moves can cause a disconnect between…
To some, the nickel boom of the last year or so is reminiscent of the Poseidon nickel boom of 1969. Then, the nickel price rise was driven by the Vietnam war and a strike at the world’s largest producer, Inco. Poseidon rose from $0.80 to a high of $280, a…
It is common practice in the resource space, particularly in investor presentations, to show the presenting company in a table comparing it with what they say are “peers”. Of course, the conclusion is always that the presenting company is substantially undervalued. The inference is that it is therefore a better…
Most cannabis stocks burst onto the scene in 2018, particularly in Canada. We lagged a little in Australia but did catch up with spectacular gains made by a number of pot stocks. The hype was based upon the belief that pot was going to be legalised, for both medicinal and…
A recent highlight in the corporate bond market is that Tesla’s August 2017 bonds, on issue, had a coupon rate of 5.3%. The yield is now 9.6% on the back of a very poor first quarter earnings and a huge cash burn. This yield is high, even for a bond rated…
Incoterms® – international commercial terms – are published by the International Chamber of Commerce (“ICC”). They are a set of rules governing international trade. Although other rules exist, none are as global in reach as Incoterms®. The rules are not legally binding in themselves, but are binding when incorporated into…