When people talk about the Quality of Earnings, what they usually mean is how well do current earnings predict future earnings. This is, literally, the textbook definition of earnings quality. The problem with this definition, however, is that it favours the stability of earnings above anything else. What if, as an example, a future stream … Continue reading Embedded Optionality | FRMO Case Study
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EXOR | FCA Monetization and Share Repurchases
On November 14, EXOR N.V. issued a press release whereby the company announced a €300 million share repurchase plan. Less than six months earlier, at the Exor annual meeting of shareholders, the board of directors had approved a share repurchase plan of €500 million, valid for the following 18 months. The additional repurchase plan comes … Continue reading EXOR | FCA Monetization and Share Repurchases