Methodology
How The Valuation Node Approaches Research
The principles behind every analysis published here, transparency of assumptions, primary sources, and an honest account of where the analysis could be wrong.
·5 min read
Research
Original analysis of Indian companies, sectors, and credit. All work is authored, dated, and shows its sources.
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Valuation
What Three Years of a Cash Flow Statement Reveals That One Year Hides
Profit is an opinion, cash is a fact, and one year of cash flow is a snapshot. It takes three years for the snapshot to become a story.
·6 min read
Valuation
Comparing Two Companies on ROE, and Why the Higher One Is Not Always Better
Return on equity is one number, but it is built from three. Until you split it apart, a high ROE and a fragile ROE look exactly the same.
·6 min read
Valuation
What a High P/E Actually Implies, and When It Is a Trap
A high P/E is not a verdict of "expensive." It is a sentence the market is speaking about the future, and learning to read that sentence is where valuation actually begins.
·6 min read
Valuation
Five Red Flags in a Set of Financial Statements
Companies rarely collapse without warning. The warnings are usually sitting in the financial statements, in plain sight, for anyone who knows which lines to read against each other.
·7 min read
Valuation
Why a Company Can Be Profitable and Still Run Out of Cash
Profit is an accounting opinion recorded on paper. Cash is what actually pays salaries, suppliers, and lenders. The gap between the two has killed more companies than losses ever have.
·7 min read
Valuation
How Terminal Value Quietly Dominates Most Valuations
You forecast five years carefully, cell by cell. Then one formula, covering everything after year five, contributes most of the answer. That formula deserves more scrutiny than it usually gets.
·7 min read
Credit
What a Credit Rating Really Measures, and What It Misses
AAA does not mean "excellent company" and BBB does not mean "mediocre one." A rating answers one narrow question, and most misuse comes from forgetting how narrow that question is.
·8 min read
Sector
Why Banks Cannot Be Valued Like Normal Companies
Apply a standard DCF to a bank and the model dissolves in your hands. The reason reveals something fundamental about what a bank actually is.
·8 min read