MK Cheap or Not
Frameworks Not Widely Distributed

Master the Art of Valuation

Our valuation brain is built on the wisdom of legendary investors and institutional best practices. Explore the key concepts and frameworks that power our analysis.

Earnings Power Value (EPV)
Greenwald's framework for valuing companies based on sustainable earnings without growth assumptions.

Key Concepts:

  • Normalized earnings
  • Cost of capital
  • Franchise value
  • Asset value comparison
The Magic Formula
Greenblatt's systematic approach combining earnings yield and return on capital.

Key Concepts:

  • EBIT/EV ratio
  • Return on capital
  • Ranking methodology
  • Portfolio construction
Discounted Cash Flow (DCF)
The foundational method for intrinsic value calculation based on future cash flows.

Key Concepts:

  • Free cash flow
  • WACC
  • Terminal value
  • Sensitivity analysis
Margin of Safety
Graham and Dodd's principle of buying at a discount to intrinsic value.

Key Concepts:

  • Intrinsic value
  • Market price divergence
  • Risk management
  • Position sizing
Comparable Analysis
Relative valuation using peer company multiples and market benchmarks.

Key Concepts:

  • P/E ratio
  • EV/EBITDA
  • Peer selection
  • Multiple normalization
Special Situations
Greenblatt's strategies for spinoffs, restructurings, and event-driven investing.

Key Concepts:

  • Spinoffs
  • Merger arbitrage
  • Distressed securities
  • Hidden assets
Our Knowledge Sources
The valuation brain synthesizes insights from these authoritative sources

Value Investing: From Graham to Buffett and Beyond

Bruce Greenwald

The definitive academic treatment of value investing, introducing the three-element framework of Asset Value, Earnings Power Value, and Growth Value.

Special Situations Investing

Joel Greenblatt (Columbia Business School)

Class notes from Greenblatt's legendary course covering the Magic Formula, spinoffs, and event-driven strategies.

Analyst Valuation Training

Merrill Lynch (2007)

Institutional training materials covering DCF, comparable analysis, and precedent transactions.

Valuation Handbook

UBS (2009)

Comprehensive guide to trading vs. transaction valuation, control premiums, and sector-specific methodologies.

Advanced Valuation Course

Prof. Philip Valta (University of Bern)

Academic course covering cost of capital estimation, EVA, and fundamental growth analysis.

Would you be open to applying these frameworks?