Valtrend - Butler Business Valuation

Archive for the ‘Cost of capital’ Category

Financial Analyst – Key word: Analyst

Tuesday, May 7th, 2013

An analogy is a comparison between two things.  Analogies have (more…)

Expanding Knowledge and the Adoption of Total Beta

Saturday, December 8th, 2012

In Samuel Arbesman’s new book, The Half Life of Facts, he uses examples of (more…)

Debt and the New Bizarro World or Is it the New Normal?

Saturday, November 17th, 2012

Recently, both Exxon Mobil and Johnson & Johnson bond yields sank below comparable U.S. treasuries, implying (more…)

The Equity Risk Premium: What is it?

Wednesday, July 18th, 2012

With the flight to quality mentioned in my last blog, treasury yields are quite low by historical standards. This has had the opposite effect on the equity risk premium (ERP), however.

The ERP is the return (more…)

When is the risk-free not “risk-free”?

Wednesday, July 18th, 2012

The risk-free rate is the starting point or building block to develop (more…)

Another Strong Endorsement of the Butler Pinkerton Calculator

Wednesday, December 14th, 2011

Bankruptcy court says BPC is ‘Daubert-proof’

The debtor planned to build a southwest Texas urban development in 2006—but by 2010, it (more…)

Change is Hard in any Industry

Wednesday, June 8th, 2011

Harvard sleep expert Dr. Charles Czeisler has spent approximately $3 million over many years showing (repeatedly) that doctors who do not get enough sleep make mistakes on the job.  You might ask, we need a study for this?  (more…)

The Butler Pinkerton Calculator passes a Major Test

Thursday, January 6th, 2011

For those unaware a Daubert Challenge (the major test) is a process to ensure that junk science stays out of the courtroom.  The Butler Pinkerton Calculator (BPC) just passed (more…)

When a Butterfly Flaps its Wings…

Wednesday, December 8th, 2010

strange things happen…or do they? (more…)

Should Business Appraisers Improve CAPM?

Wednesday, April 14th, 2010

Yes, we should.  One improvement is the replacement of beta with total beta in the CAPM.  (more…)