Stock decisions I did not take

This is a list of events and potential actions I didn’t take, and that I want to remember: Event: Trump won the USA election Action not taken: Buy Goldman Sachs stock. Result in 3 months: stock from 185$ to 250$. Chemours splitted from DuPont, Nelson Petz after Kraft split he invested in Mondelez. Action not … Read more

CAPE or Shiller Ratio

I learned about the Cyclically Adjusted PE Ratio (CAPE Ratio) or Shriller ratio, and I found that in September 2016 this was 26,57. Looking into more data, I found this chart with data since 1880:

Effort to earn 7,5% is tough right now

This graph is very indicative about the huge efforts to perform earnings on financial services right now. They seemed to be easy in 1995, but in 2005 the effort and the risk exposure is so huge. It’s easy to understand why GE sold GE Money, and other major transformations that are happening. How is it … Read more

Finance and portfolio management

I’m working on a set of accounts and solutions for my company, handling a portfolio at country level. My team is composed by account managers where that handle the day to day relationship with customers, write offers, deliver services with the support of service managers, handle projects directly or with a PM…They do a lot … Read more

Dogs of Dow 2016

Other year trying to understand the values with more return into dividends. AT&T is out due to the fact that is not in Dow Jones anymore, but continuous being the #1.  

Zuora, subscription model as a service

The world is moving from a product based economy to a service based economy. Some companies born in the subscription model, but others need to transform from their existing model to the subscription based model. So, well everybody knows already that Zuora is an emerging competitor in the market, creating and end to end solution … Read more

DuPont Finance Analysis

This way to perform financial analysis started to be done by DuPont in 1920, and it gained a lot of recognition and acceptance. Profitability (measured by profit margin) = Net profit/Sales Operating efficiency (measured by asset turnover) = Sales/Assets Financial leverage (measured by equity multiplier) = Assets/Equity The calculation sequence is as follows: ROE = … Read more

Finance terms

Learning some basic finance terms: Credit support Annex (CSA) It is is a legal document which regulates credit support for derivative transactions. It is one of the four parts that make up an ISDA Master Agreement but is not mandatory. It is possible to have an ISDA agreement without a CSA but normally not a … Read more

Financial responsibility matrix

I’m working on a transformation project where we are replacing people from current organization by other people. The plan has been defined and agreed, after that, the question within the account team was: Who will pay it? There are different aspects of the transformation and each business unit will have different benefits, different countries involved, … Read more

Shared hostings, revenue per server

I continue trying to understand how hosting companies earn money with their services. I cannot calculate the TCO per server or per user, but I can do some figures to calculate the revenue per server: I have the prices on the web page and I can know the number of customers for a given server … Read more