Find undervalued stocks of great high quality businesses
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About Realstockvalue

The objective of realstockvalue.com is to find undervalued stocks of great businesses by calculating the real value of stocks listed on exchanges all around the world. We calculate the real value using a complex mathematical formula based on long-term value investing principles to calculate the Net Present Value of estimate future cash flows. We use the following criteria to estimate future cash flows:
- High sustainable profitability
- High return on assets and equity
- Proven growth potential
- Stable Cash Flows (high geometrical mean of expected returns)
- Strong balance sheet/buying power
- Low capital requirements
- Global player (potential)
- Low price/earnings
- Pricing power
- Sustainable competitive advantage
- Strong brand(s)
- (Integrated) value chain
- Unique value proposition
- Strong market position
- Strong Management
- Competitive Position
- Business Risks
- Currency and Country Risks

We use a risk based discount rate, which is based on our assessment of the risk of the stock. The higher the risk of the stock the higher the discount rate. We use the following principles to determine the discount rate:
- Stability of demand
- Competitive position
- profitability
- risk of new entrants
- risk of substitues
- number of customers
- market power
- Balance sheet strength
Our calculations are based on the value investment strategies of famous value investors like:
Warren Buffet
Benjamin Graham
David Dreman
Joel Greenblatt

Click here to read a presentation explaining our complete valuation approach in more detail!!


If you have questions, comments, tips or you think our calculations/analyses are erroneous please send an e-mail to rsv@realstockvalue.com or write a message on the message board.

RSVX :-40892 -140%

The RSVX is our stock portfolio. We started the portfolio on January 2010 and we will measure the performance against the S & P 500. Click here to read more about the RSVX and the underlying stocks.

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We try to continuously improve our valuation calculation. If you have suggestions to improve the valuations or you think our valuations are erroneaous, please discuss the valuations on the messageboard

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All Stocks

Valuations of:
Dow Jones Industrials
S & P 500 Large Caps
S & P 400 Mid Caps
S & P 600 Small Caps
Dutch AEX 25
Dutch AMX 25
Dutch ASCX 25
French CAC 40
French Next 20
French Mid 100
German DAX
FTSE
Most Undervalued

Great Investment Books

The Intelligent Investor - Benjamin Graham
The Little Book That Beats the Market - Joel Greenblatt
The Warren Buffett Way
Valuation: Measuring and Managing the Value of Companies
Value Investing: From Graham to Buffett and Beyond


 Warren Buffet

He is the most successful and well-known investor of the world and CEO of Berkshire Hathaway. His investing approach is based on the value investing philosophy.

He studied under the famous value investor Benjamin Graham at Columbia University. He adapted the Graham investment philososphy to create his own value investing strategy. It is based on discipline, patience and value. Buffet is searching for companies, which are trading at a discount to their intrinsic value and which competitive positions are so strong that he is willing to hold them for a long time. His investment strategy is based on the following principles: - only buying businesses that he understands - with favorable long-term prospects because of durable competitive advantages - a competent and honest management team - available at a very attractive price His investing strategy is very conservative. He prefers companies with strong cash and stable flows and low debt.

His stock holdings include:
Wells Fargo (WFC) - One of the most conservative banks. They lost their triple A rating during the credit crisis, but they are outperforming most of their competitors during the crisis. They are currently the second largest bank of the US based on market value after JPMorgan Chase.
Coca Cola (KO) - World Wide Market leader in the beverage industry. Coca Cola has very loyal customers who drink Coca Cola (or Fanta or Sprite) every day. The company has hardly any debt and has a return of equity of 30. They have strong bargaining power with retailers and suppliers. They have outsourced most of the bottling, which lowered their capital requirements and increased their profit margins.
Procter & Gamble (PG)
Conoco Phillips (COP)
Burlington Northern Santa Fe
American Express
Kraft Foods
Johnson & Johnson
U.S.Bancorp


Although he is the riches man in the world (as of September 2007) with an estimated net worth of 70 billion dollars his yearly salary is only $100,000.



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