Download or read book Shareholder Value Creators and Shareholder Value Destroyers in USA Year 2002 written by Pablo Fernandez and published by . This book was released on 2003 with total page 20 pages. Available in PDF, EPUB and Kindle. Book excerpt: 2002 was a bad year: The shareholder value destruction of the companies in the Samp;P 500 was $3.3 trillion. In 2002 only 16% of the companies created value (80 companies created value and 420 companies destroyed value). The percentage of value creators was 35%, 54%, 47% and 53% for 2001, 2000, 1999 and 1998. The market value of the 500 companies was $8.1 trillion in 2002 and $10.4 trillion in 2001. The top shareholder value creators in 2002 were Boston Scientific ($6.5 billion), Bank of America ($6.4 billion), Wachovia ($4.7 billion), and Procter ($3.3 billion). The top shareholder value destroyers in 2002 were General Electric (-$185 billion), Intel (-$125 billion), Microsoft (-$119 billion) and AOL Time Warner (-$101 billion). We define created shareholder value and provide the ranking of created shareholder value for the 500 companies. We also calculate the created shareholder value of the 500 companies during the five-year period 1998-2002. Wal-Mart Stores was the top shareholder value creator ad Coca Cola the top shareholder value destroyer during the five-year period.We also provide the shareholder return of the 500 companies. Only 148 companies (out of the 500) had positive return on 2002, been the highest Providian Financial (82.8%). Dynegy had the lowest return (95.3%).

Download or read book Shareholder Value Creators and Shareholder Value Destroyers in USA written by Pablo Fernandez and published by . This book was released on 2002 with total page 20 pages. Available in PDF, EPUB and Kindle. Book excerpt: In this paper, we quantify shareholder value creation for 274 American companies. We provide the created shareholder value for each and every company for years 1998, 1999, 2000 as well as for 1993-2000. The market value of the 274 companies was 9,680 billion dollars.We define created shareholder value and provide the ranking of created shareholder value for the 274 companies. In 2000 Phillip Morris was the leading shareholder value creator and, on the other end of the spectrum, Microsoft was the top shareholder value destroyer.We also calculate the cumulative created shareholder value of selected American companies during the three-year period 1998-2000 and during the eight-year period 1993-2000. General Electric was the first company in both, created shareholder value and equity market value in 2000.We claim that EVA does not properly measure Wealth Creation. We have compared EVA calculated by Stern Stewart and Co with created shareholder value of 269 companies. The correlation of EVA with created shareholder value was only 17.66%. 60 companies had negative EVA and positive created shareholder value. 64 companies had positive EVA and negative created shareholder value. On average, the difference of shareholder value creation minus EVA was -434% of EVA. The absolute value of the difference of shareholder value creation minus EVA was 8972% of EVA. With this evidence, we conclude that EVA does not properly measure Wealth Creation.

Download or read book Shareholder Value Creators and Shareholder Value Destroyers in USA written by Pablo Fernandez and published by . This book was released on 2002 with total page 22 pages. Available in PDF, EPUB and Kindle. Book excerpt: In this paper, we quantify shareholder value creation for 276 American companies. We provide the created shareholder value for each and every company for years 1998, 1999, 2000 and 2001. The market value of the 276 companies was 8,716 billion dollars in 2001 and 9,729 billion dollars in 2000. We define created shareholder value and provide the ranking of created shareholder value for the 276 companies. In 2001 Microsoft was the leading shareholder value creator and, on the other end of the spectrum, Cisco was the top shareholder value destroyer. We also calculate the cumulative created shareholder value of selected American companies during the four-year period 1998-2001. Wal-Mart Stores was the first company in created shareholder value companies during the four-year period 1998-2001.We also claim that EVA does not properly measure Wealth Creation. We have compared EVA calculated by Stern Stewart and Co with created shareholder value of 269 companies. The correlation of EVA with created shareholder value was only 17.66%. 60 companies had negative EVA and positive created shareholder value. 64 companies had positive EVA and negative created shareholder value. On average, the difference of shareholder value creation minus EVA was -434% of EVA. The absolute value of the difference of shareholder value creation minus EVA was 8972% of EVA. With this evidence, we conclude that EVA does not properly measure Wealth Creation.

Download or read book Shareholder Value Creators and Shareholder Value Destroyers in Europe Year 2002 written by Pablo Fernandez and published by . This book was released on 2006 with total page 21 pages. Available in PDF, EPUB and Kindle. Book excerpt: 2002 was a bad year for the shareholders of the companies in the Euro Stoxx 50: the shareholder value destruction of the companies in the Euro Stoxx 50 was Euro 958,968 million. In 2002 only Eni created value (Euro 3,374 million). The remaining 49 companies destroyed value and had negative returns. Alcatel had the lowest shareholder return in 2002 (-77.9%). Shareholder value destruction in the 3-year period 2000-2002 Euro was 1.9 trillion. The market value of the 50 companies was Euro 1.42 trillion in 2002, and Euro 2.24 trillion in 2001, and Euro 2.75 trillion in 2001. We also calculate the created shareholder value of the 50 companies during the six-year period 1997-2002. Nokia was the top shareholder value creator and Allianz the top shareholder value destroyer during the six-year period. We find a very weak relationship between return and size. A portfolio long in the companies that entered the index and short in the companies that abandoned the index had on average a 10% return in the 16 days prior to the index recomposition and a -6% return in the 12 days after the index recomposition. In 2002, the Euro Stoxx 50 was much more volatile than the Samp;P 500 or the Dow Jones.

Download or read book Shareholder Value Creators and Destroyers in the Dow Jones written by Pablo Fernandez and published by . This book was released on 2015 with total page 6 pages. Available in PDF, EPUB and Kindle. Book excerpt: During 2008, the 30 companies included in the Dow Jones destroyed $1.6 trillion for their shareholders. Only 2 companies (Wal Mart and McDonalds) created value. The top shareholder value destroyers were General Electric ($233 billion) and Microsoft ($178 billion). The market value of the 30 companies was $2.9 trillion in 2008 and $4.4 trillion in 2007.The price of the shares of each company had a big dispersion: on average, the maximum price of the year 2008 was 2.6 times the minimum price. 2008 had 11 of the 20 days with lowest returns in the period 1963-2008, and 8 of the 20 days with highest returns in the same 45-year period. The average return of 2008 was -32.3% (6 companies had returns below -50% and 20 had returns below -20%). However, the investors that bought shares in the years 1987-1998 and 2001-2002 had positive returns on December 2008.

Download or read book Shareholder Value Creators in the S P 500 written by Pablo Fernandez and published by . This book was released on 2006 with total page 29 pages. Available in PDF, EPUB and Kindle. Book excerpt: During 2003, 87% of the companies included in the Samp;P 500 created value, while in 2002 just 17% of these companies did it. The market value of the 500 companies was $10.1 trillion in 2003 and $7.9 trillion in 2002. The top shareholder value creators in 2003 were Intel, Cisco, Citigroup, General Electric and Exxon. We define created shareholder value and provide the ranking of created shareholder value for the 500 companies. We also calculate the created shareholder value of the 500 companies during the eleven-year period 1993-2003. General Electric was the top shareholder value creator and ATamp;T was the top shareholder value destroyer during the eleven-year period. On average, the small market capitalization companies of the Samp;P were more profitable. The volatility of the Samp;P fell since 1998 to 2003, but the volatility of his components increased on average.

Download or read book Valuation Methods and Shareholder Value Creation written by Pablo Fernandez and published by Academic Press. This book was released on 2002-08-30 with total page 662 pages. Available in PDF, EPUB and Kindle. Book excerpt: This text provides a catalogue of valuation tools, together with guidance on analyzing and valuing a business. The author breaks down the topic to provide advice for any business, no matter how complex. He presents eight different methods of firm valuation and discusses the benefits and limitations of each method, supporting this information with examples from international markets.

Download or read book Shareholder Value Creators in the S P 500 written by Pablo Fernandez and published by . This book was released on 2019 with total page 11 pages. Available in PDF, EPUB and Kindle. Book excerpt: In the period 1991-2010, the S&P 500 destroyed value for the shareholders ($4.5 trillion). In 1991-1999 it created value ($5.1 trillion), but in 2000-2010 it destroyed $9.6 trillion. The market value of the S&P 500 was $2.8 trillion in 1991 and $11.4 trillion in 2010.We also calculate the created shareholder value of the 500 companies during the 18-year period 1993-2010. The top shareholder value creators in that period have been Apple ($212bn), Exxon Mobil (86), IBM (78), Altria Group (70) and Chevron (67). The top shareholder value destroyers in that period have been American Intl Group ($-217), Pfizer (-188), General Electric (-183), Bank of America (-170), Citigroup (-169) and Time Warner (-130). 41% of the companies included in the S&P 500 in 2004 or 2010 created value in 1993-2010 for their shareholders, while 59% destroyed value. We define created shareholder value and provide the created shareholder value of the 633 companies that were in the S&P 500 in December 2004 or in December 2010.

Download or read book Shareholder Value Creators in the S P 500 written by Pablo Fernandez and published by . This book was released on 2006 with total page 33 pages. Available in PDF, EPUB and Kindle. Book excerpt: During 2004, 64% of the companies included in the Samp;P 500 created value, while in 2003 87% of these companies did it. The market value of the 500 companies was $11.2 trillion in 2004 and $10.1 trillion in 2003. The top shareholder value creators in 2004 were Exxon, General Electric, Ebay, Johnson amp; Johnson and Qualcomm. We define created shareholder value and provide the ranking of created shareholder value for the 500 companies. We also calculate the created shareholder value of the 500 companies during the twelve-year period 1993-2004. General Electric was the top shareholder value creator and ATamp;T was the top shareholder value destroyer during the twelve-year period.On average, the small market capitalization companies of the Samp;P were more profitable. The volatility of the Samp;P fell since 1998 to 2004, but the volatility of his components increased on average.

Download or read book Advanced Corporate Finance written by KRISHNAMURTI CHANDRASEKHAR and published by PHI Learning Pvt. Ltd.. This book was released on 2010-01-30 with total page 397 pages. Available in PDF, EPUB and Kindle. Book excerpt: Primarily intended as a text for postgraduate students of management and those pursuing postgraduate courses in finance, this study explains corporate finance as an area of finance dealing with the financial decisions corporations make and the tools and analyses used to make these decisions.

Download or read book Creating Shareholder Value written by Alfred Rappaport and published by . This book was released on 1986 with total page 304 pages. Available in PDF, EPUB and Kindle. Book excerpt: Begins with dramatic proof of the shortcomings of accounting numbers as earnings per share, return on investment, and return on equity, and explains to develop value-creating business strategies and how to ...

Download or read book Creating Shareholder Value written by Alfred Rappaport and published by . This book was released on 1998 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Creating Shareholder Value written by a rappaport and published by . This book was released on 1986 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Shareholder Value Creation written by Pablo Fernandez and published by . This book was released on 2019 with total page 10 pages. Available in PDF, EPUB and Kindle. Book excerpt: In this paper, we will define and analyze shareholder value creation. To help us understand this concept better, we will use the example of a listed company, General Electric, between 1991 and 2012.lt;brgt;lt;brgt;To obtain the created shareholder value, we must first define the increase of equity market value, the shareholder value added, the shareholder return, and the required return to equity. lt;brgt;lt;brgt;A company creates value for the shareholders when the shareholder return exceeds the required return to equity. In other words, a company creates value in one year when it outperforms expectations.lt;brgt;lt;brgt;The created shareholder value is quantified as follows:lt;brgt;Created shareholder value = Equity market value x (Shareholder return - Ke)lt;brgt;lt;brgt;The created shareholder value can also be calculated as follows:lt;brgt;Created shareholder value = Shareholder value added - (Equity market value x Ke)lt;brgt;lt;brgt;We also calculate the created shareholder value of 142 American companies.

Download or read book Creating Shareholder Value Summary written by Alfred Rappaport and published by . This book was released on 2007 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: getAbstract Summary: Get the key points from this book in less than 10 minutes.For the past 12 years, The Wall Street Journal has published Dr. Alfred Rappaport's brainchild, the Shareholder Scoreboard. This special section lists 1,000 of the largest U.S. corporations (representing 90% of all listed equity values) and shows statistically how "shareholder-friendly" each one is. This journalistic feature popularizes Rappaport's "Shareholder Value" (SV) theory among institutional and individual investors. Investors use this theory to make equity commitments that reflect the author's economics-based criteria. Frankly, the lay reader who has not majored in economics, or in corporate accounting and finance, will find Rappaport's book abstruse. But it leads the way for the informed, inquisitive investor who seeks "business enlightenment" and Wall Street success. Do not be thrown off by the original 1986 print date. A classic is just that, a book that can be read and wisely used for decades. The small, silent shareholder revolution that Rappaport started is far from over. By now, shareholder analysis has become part of the mainstream for hundreds of big companies (though they accepted it gradually). SV is far from perfect as a corporate strategy indicator. The true worth of this book for CEOs and other executives resides in its lessons for implementing the SV approach throughout a corporation. getAbstract recommends it to all three informed constituencies of every public corporation: executives, employees and shareholders.Book Publisher:Copyright 1986, 1998 by Alfred RappaportReprinted by permission of Free Press, a division of Simon & Schuster, Inc., N.Y.

Download or read book Shareholder Value Creation of Microsoft and Ge written by Pablo Fernandez and published by . This book was released on 2015 with total page 16 pages. Available in PDF, EPUB and Kindle. Book excerpt: In this paper, we will define and analyze shareholder value creation. To help us understand this concept better, we will use the example of two listed companies, General Electric and Microsoft, between 1992 and 2003. To obtain the created shareholder value, we must first define the increase of equity market value, the shareholder value added, the shareholder return, and the required return to equity.A company creates value for the shareholders when the shareholder return exceeds the required return to equity (Ke). In other words, a company creates value when it outperforms expectations.The created shareholder value can also be calculated as follows:Created shareholder value = Shareholder value added - (Equity market value x Ke)We also calculate the created shareholder value of 400 American companies during the eleven-year period 1992-2003.

Download or read book Measuring and Managing Shareholder Value Creation written by Howard M. Armitage and published by . This book was released on 2000 with total page 31 pages. Available in PDF, EPUB and Kindle. Book excerpt: