Some fundamental drivers such as market cap or Loews enterprice value can be analyzed from historical prospective to project value of the company into the future. Some investors analyze Loews valuation indicators such as Earnings Before Interest Taxes and Depreciation Amortization EBITDA of 2.4 B or Earnings before Tax of 1.9 B to time the market or to short-sell their positions based on the trend in valuation ratios. It is a perfect tool to project the direction of Loews future value. Financial Statement Analysis is much more than just reviewing and breaking down Loews prevalent accounting reports in order to predict its past. Macroaxis encourages investors to analyze financial statement over time for various trends across multiple indicators and accounts to determine whether Loews is a good buy for the upcoming year. Please see also Stocks Correlation.
Enterprise ValueEnterprise Value (or EV) is usually referred to as Loews theoretical takeover price. In the event of an acquisition, an acquirer would have to take on Loews debt, but would also pocket its cash. Enterprise Value is more accurate representation of Loews value than its market capitalization because it takes into account all of Loews Corporation existing debt. Enterprise value is a measure of the value of a business as a whole; calculated as [MarketCap] plus [DebtUSD] minus [CashnEqUSD].
Market CapitalizationMarket capitalization (or market cap) is the total value of the shares outstanding of Loews Corporation. It is equal to Loews current share price times the number of Loews outstanding shares. Represents the product of [SharesBas]; [Price] and [ShareFactor].