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8 October 2025

Home / Intrinsic Value

Intrinsic Value

1-12 out of 12 results.

The million-dollar banana and the power of story

Markets are not driven by numbers alone. Examples from Tesla shares to Sydney houses show that investors must evaluate not just tangible assets or financials, but also the intangible story that magnifies their value.

How ‘less pain, some gain’ can smooth your volatile ride

As markets whipsaw, the risk that volatility might undermine investors’ ability to achieve their return objectives looms large. What can investors do to mitigate that risk and avoid falling short of their goals?

Price is a liar: take three steps before you dive in

Price is a subjective measure with no mathematical definition, but valuation approximates the truth. With many stock prices down, investors looking to buy should consider three steps suited to current market conditions.

After 30 years of investing, I prefer to skip this party

Eventually, prices become so extreme they bear no relationship to reality, and a bubble forms. I believe we are there today, not for all stocks but for many in the technology space.

The death of value investing in a low growth world

For value investing to remain a rational strategy, mean reversion must hold true, which requires supportive economic conditions. But historical ranges are not relevant to companies losing market share.

The potential for a value revival

Value investing compares the estimated intrinsic value of a company with its market value, and although growth and value go in cycles, there are signs that some value stocks are at attractive levels.

Anchoring holds back your investing

Anchoring refers to a common human tendency to make judgements based on the first piece of information received. In relation to investing, it makes us focus on irrelevant factors when making decisions to buy or sell equities.

Learning when to buy and sell shares

Once you have formed a view on the intrinsic value of a company, you can cut through the noise of fashion and sentiment to strengthen your portfolio, buying shares when undervalued and perhaps selling when overpriced.

Estimating a share’s intrinsic value 101

When building an investment portfolio it's a good idea to buy quality companies at a discount to intrinsic value. But what is that, and how does it fit into portfolio construction?

Testing Ben Graham’s voting and weighing machines

Prices often diverge significantly from that which is justified by the economic performance of the business, but in the long term, prices eventually converge with intrinsic values. It's the difference between voting and weighing.

Value investing and valuing a business

Value investing involves buying stocks at a discount to their intrinsic value but what valuation multiples do you use to identify the intrinsic value of a company?

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Simple maths says the AI investment boom ends badly

This AI cycle feels less like a revolution and more like a rerun. Just like fibre in 2000, shale in 2014, and cannabis in 2019, the technology or product is real but the capital cycle will be brutal. Investors beware.

Why we should follow Canada and cut migration

An explosion in low-skilled migration to Australia has depressed wages, killed productivity, and cut rental vacancy rates to near decades-lows. It’s time both sides of politics addressed the issue.

Are LICs licked?

LICs are continuing to struggle with large discounts and frustrated investors are wondering whether it’s worth holding onto them. This explains why the next 6-12 months will be make or break for many LICs.

Australian house price speculators: What were you thinking?

Australian housing’s 50-year boom was driven by falling rates and rising borrowing power — not rent or yield. With those drivers exhausted, future returns must reconcile with economic fundamentals. Are we ready?

Retirement income expectations hit new highs

Younger Australians think they’ll need $100k a year in retirement - nearly double what current retirees spend. Expectations are rising fast, but are they realistic or just another case of lifestyle inflation?

Welcome to Firstlinks Edition 627 with weekend update

This week, I got the news that my mother has dementia. It came shortly after my father received the same diagnosis. This is a meditation on getting old and my regrets in not getting my parents’ affairs in order sooner.

  • 4 September 2025

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