I don't want to undervalue (pun intended) people's work on this sub, but for those using the r/Undervalued strategy for some time, could you share the annual gains? Does it have better gains than, let's say, SPY or VT? For how much?
Hi all,
I'm in the process of building my PPOR (that I intend to live in for 30+ years) - and I've decided to go down the architect designed + tender to builder route. Both architects I've spoken have a really good relationship with a boutique builder that I have spoken too, and reviews show that budgets aren't blown.
I'm located in Adelaide, and my 425sqm land was purchased for ~500k in a mature, established Eastern suburb. As I'm looking to build a long-term PPOR with some high end features (high performance passivehaus esque, 8-9 NatHERS star rating, double-triple glazed windows, high end finishes), my budget for construction is 1m for ~250sqm, double story, home. Builder and architects have told me this is easily achievable.
I love the suburb (leafy, low crime, relatively 'blue chip'), and although I have the budget to buy land in an even more 'premium' suburb, I simply have zero interest in living in those suburbs - I just don't feel comfortable and would prefer to live in a more modest, (upper?) middle-class suburb. I'm aware this has now put me in a predicament where my construction budget is double my land value, thus technically I'm overcapitalizing, even though it is my PPOR.
My fear is that the bank will undervalue my build as construction + land will total to 1.5m. From what I'm aware banks don't really care about architectural details, energy efficiency, or finishes? Recent typical two story properties on land sizes between 353sqm - 400sqm in the suburb are selling between $830k - $930k for land. I couldn't really find anything recent for my land size.
I'm seeking advice on if this scenario is a clear case that lender will undervalue my property, and what are some things I can do about it? I'm a high income earner (210k p/a) - will this have any relevance? Is there anything I could argue about it being an architecturally designed home? I could liquidate some investments to make up the difference in the event of undervaluation, but I don't want to do that either as I believe the investments will provide increased return - actually my plan was to liquidate some investments when I am a bit more comfortable with the return and to put that into the offset.
Even if I was to go to a custom builder and not an architect, the build has been quoted around 700-750k which is still 1.2m+ for a two story, making it cost more than other two story properties that are being sold. I don't really see how it's possible to build a new two story home on land
... keep reading on reddit ➡These extracts from DR.Jung I found really inspiring :
"Almost more even than the extraverted is the introverted type subject to misunderstanding ... because the style of the epoch in which he himself participates is against him. Not in relation to the extraverted type, but as against our general occidental world-philosophy, he finds himself in the minority, not of course numerically, but from the evidence of his own feeling.
In so far as he is a convinced participator in the general style, he undermines his own foundations, since the present style, with its almost exclusive acknowledgment of the visible and the tangible, is opposed to his principle. Because of its invisibility, he is obliged to depreciate the subjective factor, and to force himself to join in the extraverted overvaluation of the object.
He himself sets the subjective factor at too low a value, and his feelings of inferiority are his chastisement for this sin. Little wonder, therefore, that it is precisely our epoch, and particularly those movements which are somewhat ahead of the time, that reveal the subjective factor in every kind of exaggerated, crude and grotesque form of expression. I refer to the art of the present day.
The undervaluation of his own principle makes the introvert egotistical, and forces upon him the psychology of the oppressed. The more egotistical he becomes, the stronger his impression grows that these others, who are apparently able, without qualms, to conform with the present style, are the oppressors against whom he must guard and protect himself.
He does not usually perceive that he commits his capital mistake in not depending upon the subjective factor with that same loyalty and devotion with which the extravert follows the object By the undervaluation of his own principle, his penchant towards egoism becomes unavoidable, which, of course, richly deserves the prejudice of the extravert.
Were he only to remain true to his own principle, the judgment of ‘egoist’ would be radically false; for the justification of his attitude would be established by its general efficacy, and all misunderstandings dissipated. "
Jung -Psychological types
"You want to be understood? That’s all we needed! Understand yourself, and you will be sufficiently understood. You will have quite enough work in hand with that"
Jung - Red book
perhaps we will never see eye to eye with the world , we should not blame others for not seeing our value , but work on o
... keep reading on reddit ➡https://preview.redd.it/2fel40hyzfm61.png?width=1082&format=png&auto=webp&s=944b30e4d33c7193575fb014682802f76cae11a2
A friend of mine told me last night about this article that explained why GameStop is overvalued, and why it is Redditors keeping the price afloat- so I told him to send it to me so I could break it down.
EDIT: a lot of our friends and family will not have the time or energy to invest into understanding the depths of the stock. In this post, I will show how an article that appears to the reasonable but untrained eye as a fair and realistic evaluation of GameStop's value, when in reality it is manipulative. This is how the MSM can slip in just enough misdirection or leave out just enough truth to twist what should be a mathematical perspective entirely.
I am not an analyst.
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"Now, as of the close April 19, it is back up to $164.37.At that price, the GME stock, which had just $5.1 billion in sales in 2020, has a market capitalization of $10.82 billion. Instead of 2 times sales, most retail stocks trade for 30% to 50% of sales. "
I picked a few "retailers" randomly that came to mind: Walmart, Target, Home Depot, Pet Supplies Plus, Chewy, Amazon.
Regardless of whether MC:sales is a good valuator, here they are:
Target- market cap $103.1b/93.6b sales = 1.10x
Walmart- market cap $397.77b/519.93b = .77x lowest brick and mortar
Home Depot- market cap 350.47b/132.1b = 2.65x highest brick and mortar
Pet Supplies Plus-market cap 1.35b/1.2b = 1.125x
Amazon- market cap 1690b/96.1b = 17.59x
Chewy- market cap 33.32b/2.04b = 16.33x similar e-commerce
GME trades currently at 2.18x earnings with a market cap of 11.09b and 5.09b in sales.
At the lowest evaluation - Walmart 0.77x - GME trades at $56.30/share, or needs to make 8.547b to trade where it is.
At Home Depot 2.65x evaluation GME trades at $193.77/share, or only needs to make 4.19b to trade where it is.
At Chewy 16.33x evaluation, GME trades at $1195.97/share.
US pet industry (excluding vet care) is $64.1b. Chewy is 3.18% of the US pet industry (doesn't sell internationally) fully e-commerce.
Global gaming market is $162.32b. Gamestop, at 3.14% of the global gaming industry, just beginning to ramp up e-commerce, with no major competiti
$ARBKF ARGO BLOCKCHAIN
Anyone who is new to this board...WELCOME! Here's why you should invest in Argo Blockchain:
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Argo has no debt on its balance sheet.
-
Argo's CEO Peter Wall has made it a point to consistently communicate with shareholders and has insisted on a monthly performance update. Mr. Wall also personally owns 570,000 shares!
-
Argo recently hired Public Relations Advisor to market Argo in the US and XMS Capital Partners to support investor relations in the US.
-
Argo entered a contract to raise their Petahash to 1685 by the end of Q2 2021 this will give Argo a leg up on the competition.
-
Note that Argo was profitable last year with BTC prices in the $8000-9000 range, and that these costs are relatively fixed.
-
With Argo's expected Petahash rates and when
$BTC.X
at $30,000, Argo is likely undervalued at 7.5X conservatively estimated revenues!!!
And the best is yet to come! My PT by end of February is $2.00...end of June is $5.00...end of December is $10.00 or more.
Just gonna spout some numbers out and provide some analysis
Unum Group, Insurance
P/E(FWD):3.84
20-year average P/E: 9.39
2019 EPS: 5.44
2020 EPS: 5.20 projected
Div Yield: 5.73%
Div Growth(10-year):13.2%
Div Payout: 24.15%
So we have a stock that is trading at a 40.8%(3.84/9.39) discount to normal valuation.....A 6% yield that's growing at 10%+ annually....because COVID has taken their earnings down 4.6%(5.44/5.20)-1)...SIGN ME UP
The decline in stock price does not reflect the fundamentals of the business. Let's look at what happened last time UNM traded this cheap versus earnings
March 2009 stock is trading at 10.18 with 2.57 EPS.....10.18/2.57=3.96 P/E
March 2010 stock trades at 24.77 with is a 9.56 P/E....9.56 is extremely close to the 20-year normal valuation of 9.39. That a 140% return in a YEAR.
Let's say you held to April 2018 which is the last time the stock was fairly valued imo. You would of had a 19.9% return if you held for 9 years
BTW the stock was valued at a 4 P/E in 2003 also and achieved a 70% return from 03/2003 to 10/2003
SIMPLY PUT THIS STOCK DOES SHOULD NOT TRADE AT A 4 P/E....SHOUT IT FROM THE ROOFTOPS
https://www.takimag.com/article/do-black-feelings-matter-too-much/
“Obviously no one gives a shit about my feelings or those of any white male at this point. You’ve made that brutally clear. And yet we haven’t burned buildings over it. Maybe we’re less insecure? Maybe, despite all your efforts, we feel far less shame about our history than black people feel about theirs?
We hear all the time about black rage, but never about black shame. It’s almost as if they have nothing to be ashamed of and countless reasons to be proud.”
These extracts from DR.Jung I found really inspiring :
"Almost more even than the extraverted is the introverted type subject to misunderstanding, not so much because the extravert is a more merciless or critical adversary, than he himself can easily be , but because the style of the epoch in which he himself participates is against him. Not in relation to the extraverted type, but as against our general occidental world-philosophy, he finds himself in the minority, not of course numerically, but from the evidence of his own feeling.
In so far as he is a convinced participator in the general style, he undermines his own foundations, since the present style, with its almost exclusive acknowledgment of the visible and the tangible, is opposed to his principle. Because of its invisibility, he is obliged to depreciate the subjective factor, and to force himself to join in the extraverted overvaluation of the object.
He himself sets the subjective factor at too low a value, and his feelings of inferiority are his chastisement for this sin. Little wonder, therefore, that it is precisely our epoch, and particularly those movements which are somewhat ahead of the time, that reveal the subjective factor in every kind of exaggerated, crude and grotesque form of expression. I refer to the art of the present day.
The undervaluation of his own principle makes the introvert egotistical, and forces upon him the psychology of the oppressed. The more egotistical he becomes, the stronger his impression grows that these others, who are apparently able, without qualms, to conform with the present style, are the oppressors against whom he must guard and protect himself.
He does not usually perceive that he commits his capital mistake in not depending upon the subjective factor with that same loyalty and devotion with which the extravert follows the object By the undervaluation of his own principle, his penchant towards egoism becomes unavoidable, which, of course, richly deserves the prejudice of the extravert.
Were he only to remain true to his own principle, the judgment of ‘egoist’ would be radically false; for the justification of his attitude would be established by its general efficacy, and all misunderstandings dissipated. "
Jung -Psychological types
"You want to be understood? That’s all we needed! Understand yourself, and you will be sufficiently understood. You will have quite enough work in hand with that"
Jung - Red book
perhaps we will never see eye to
... keep reading on reddit ➡