Understanding Share Price

                            Investors need to Know

                                                   Large Premium exists in Share Price of many Public Companies?

Be careful about investing in stocks that have large premiums built into their share price. These are high-risk stocks and there are a number of them in the market.

If for some reason market confidence in these stocks is attacked or under threat, then hopefully you are not holding these shares when the price takes a dramatic drop.

Market confidence can be attacked from many different areas. To name a few such as: downgrading debt rating; downgrading profit forecasts; world market parameters such as depressed market conditions with declining prices (metals, oils etc), economy growth rates; industry factors, new technologies replacing existing markets, poorly conducted growth strategies of companies both in capital, funding and returns; political factors etc.

When confidence in a Company is attacked, the Company is very closely analysed and scrutinised and this often leads to a downgrading in support and thus results in a reducing share price.

There are currently a number of examples of financial collapses from "OVER Priced" Companies and "more" coming Northern Rock (UK); Carlyle Capital (Netherlands) and Bear Stearns (US). With Bear Stearns the partial (39.5%) take over offer of $10 per share on 25th March 2008 from JP Morgan Chase is more than 80% less than the traded price ($75 range) in early March 2008.  In the deal the US Federal Reserve subject to certain terms also guaranteed $29 Billion of Bear Stearns loans.

There are a number of Large Public Companies that have substantial premiums built into their share price. How many companies do we know of that can continuously increase their Net Operating Profit After Tax (NOPAT) year after year. If we knew that some of these companies have to increase their NOPAT by more than 10% for the next 10 to 15 years wouldn't we be taking a closer look and a more detailed assessment?

To identify Companies with Large premiums you need to be able to: -

The company that I have used as an example is a large public company. Some figures have been altered so as to hide its' identity, although the Growth Premium and NOPAT indicator figures have basically remained unaltered.

GUARANTEE: If you can show us that this "Investors need to Know" report does not show how share price is calculated and questions that you should ask your financial advisor in relation to price, then we will refund your money with no questions asked. That's more than a guarantee, that's a promise.

To ORDER NOW FOR ONLY $14.95 click on the following BuyNow Button or for an even better deal go to our BONUS OFFER by Clicking Here.
Investors Need to Know

With confirmation of your receipt you will be given a Return to Economic Solutions (SA) Pty Ltd button which takes you to a download page from where you can immediately download the e-book.
Economic Solutions (SA) Pty Ltd is our parent company.

The e-book is a Windows executable file.

Remember, You have absolutely No Risk With Our Guarantee
If You Order before midnight 
You can purchase our eBook called The Facts you should Know about the Enron Collapse together with the Investors Need to Know for a discounted price of $20.00.

To take advantage of this bonus offer Click Here

A Free Gift. Click Here to download your free copy of Wealth Strategy being an article on the most important wealth strategy to be looked at.

Also sign up as a member and receive a Free Bonus being Our Cash Volume Calculator.

In regards to our Cash Volume Calculator many business owners, businesses and even consultants do not know what cash gain or loss will be derived from a Change in Volume.

For many businesses increased sales mean a decrease in cash flow for the first year due to the need to finance additional working capital (debtors & inventory less trade creditors). The second year cash flow from the increased sales is usually positive (a gain),


Our simple to use Cash Volume Calculator gives you the answers. You may be surprised. At least you should know what will happen when you increase your sales.


Get these Free Gifts when you Opt-In as a member by Filling in your details and clicking on the Submit button below.

NOTE: Only sign up Once else you will get an ERROR page.

First Name:
 Privacy: See statement

Tell A Friend!


                     Economic Solutions:  email:    Disclaimer:    Privacy:
                     Copyright 1997 Economic Solutions (SA) Pty. Ltd