Here I will show you a method to calculate the intrinsic value of a stock. It is based in the idea of how much money can you squeeze out of a company in the future and bringing that amount to present value. The first step is to find a company which is stable, that has a somewhat linear stable growth rate. It is preferred that the debt to equity to be less than 0.5 and current ratio to be more than 1.5.
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.