You can look at cash flow, assets, forecasts, brand equity, financial strength....
Then you compute what YOU think the company is worth and go from there....opinions will vary on valuation.
PE and PEG are most commonly analyzed by value investors.
If value investing is all about identifying undervalued companies - first of all, we have to know what the correct valuation for a company is to know whether it is under the proper valuation.
So how do we know what the actual valuation for a company should be ? Do we look at book value? But then that assumes the stock price will go to the book value (speculation if company has bad cash flow)?
