Lumber Liquidators (Buffett Intrinsic Value Analysis)
Improve your investment analysis with by seeing the Lumber Liquidators's Discounted Cash Flow analysis, Lumber Liquidators's Comparable Multiple analysis, and Lumber Liquidators's Weighted Average Cost of Capital (WACC) Analysis. Helpful Information for Lumber Liquidators's AnalysisHow does this work? The Warren Buffett Intrinsic Value Analysis, developed exclusively by WikiWealth, tries to mimic the value investing approach used by Warren Buffett. Value Investing Importance? This method is unique and experimental, but extensive testing on over 3,200 companies confirms the results to be surprisingly accurate and consistent with more advanced approaches. |
Notes on the Buffett AnalysisWarren Buffett's formula was never published; however, from our research and Warren Buffett's hints over the years, this formula seems to be the most likely candidate. WikiWealth actually uses this formula in all our research reports in conjunction with Buffett's qualitative assessments of value. The numerator for this equation is found on the DCF valuation for Lumber Liquidators. It's NOPAT + Depreciation - CapEx - Net Working Capital Change. The risk free rate is the US treasury rate, a standard risk free measurement. The Warren Buffett intrinsic valuation is a simplified version of Lumber Liquidators's discounted cash flow analysis. Click on the link to see the analysis. See Lumber Liquidators's equity valuation for the complete analysis. |