Articles by Equitymaster

Midcaps: Expensive or attractive?

Posted by Equitymaster 30 June 2020 8221 Views

The BSE-Sensex has been trading in the range of 16,000 to 18,000 for almost a year now. It is only in the past few trading session that it has managed to stay above the 18,000 mark. However, purely going by valuations, the general consensus is that

Cheap money is here to stay

Posted by Equitymaster 21 October 2019 5274 Views

It is that time of the year again when the US central bank takes a call on what yield most asset classes around the world should trade at. And it appears near certain that the status quo is going to be maintained. The Fed is expected to announce its

Mining ban: Will steel industry buckle?

Posted by Equitymaster 19 October 2011 6758 Views

Indian steel industry is going through tough times. The demand for steel is slowing down because rising interest rate is slowing down spending on infrastructure sector which is the largest consumer of steel. This coupled with rising raw material cos

RBI's crusade against inflation continues

Posted by Equitymaster 17 September 2011 6448 Views

The Reserve Bank of India (RBI) declared its mid-year monetary policy review for financial year 2011-12 today. High fuel prices, persistent inflation and expectations of liquidity overhang in global financial markets drove the RBI to tighten the mon

The business of banking over the past three years

Posted by Equitymaster 07 September 2011 9331 Views

The Reserve Bank of India (RBI) recently came out with draft guidelines for the entry of new private sector banks into the sector. Most major corporate houses in India including the Tatas, Ambanis, Mahindras, Birlas, Bajaj Group etc are all ready to

Are these the 10 best stocks to buy?

Posted by Equitymaster 05 September 2011 14242 Views

It is believed that an investor is his own biggest enemy while investing. Our brains have evolved in such a way that it makes investing in a rational manner very difficult indeed. Rather than buying low and selling high, we mostly end up doing the

The why and how of 'human asset' valuation

Posted by Equitymaster 16 June 2011 18444 Views

Despite being an important asset for a company, human resource is an asset always ignored by accountants. With regards to assets, there is a fundamental conflict in accounting practices between human and non-human assets. Only non-human assets find

Equity or Debt: Which is cheaper?

Posted by Equitymaster 19 October 2010 20127 Views

Put yourself in the shoes of the CFO of a company. One major aspect you will be confronted with in your job will relate to the financing of your company's assets. Just like a plant needs water to grow, businesses need capital in order to expan

A fast growing firm can be a ticking time-bomb

Posted by Equitymaster 02 October 2010 7757 Views

Of all things in a company, an average investor seems the most enamoured with earnings. Especially the growth in earnings. A company that has managed to grow its profits by a factor of 5x to 6x over the last few years is dubbed as a super achiever.

An investing misconception

Posted by Equitymaster 24 September 2010 9704 Views

We are sure that everyone, at some point of time in their investing career has faced this situation. You are thinking of investing in a stock, but you feel that the entry price is way too high. And, this is purely based on the absolute share price