Value Investor's Worksheet - Investing (Canada)

Company:		Address:
City:		Province/State:
Stock Symbol:		Exchange:

1.	Earnings to Price Yield	AAA Bond Yield
The earnings to price yield should be double the AAA bond yield. Earnings to price is the reverse of the P/E ratio. If a company has a P/E of 20, its E/P is 1/20 or 5%. If its P/E is 50, its E/P is 1/50 or 2%.
2.	Current P/E Ratio	Highest Average P/E (last 5 years)
The current P/E should not be more than be 40% of the highest P/E in the last five years.
3.	Dividend Yield	AAA Bond Yield
The dividend yield should be two-thirds of the AAA bond yield.
4.	Stock Price	Tangible Book Value
The stock price should be two-thirds of the tangible book value of the company. Book value = (total assets - liabilities - stock issues ahead of common stock)/number of common shares.
5.	Stock Price	Net current asset value
The stock price should be two-thirds of the net current asset value or net quick liquidation value. Net current asset value = Current assets - current liabilities.
6.	Tangible Book Value	Total debt
Total debt should be lower than tangible book value.
7.	Current ratio
The current ratio should be 2 or more. Current ratio = Current assets/current liabilities
8.	Total debt	Quick liquidation value
Total debt should be less than the quick liquidation value.
9.	Current earnings	Earnings 10 years ago
Earnings should have doubled in the last ten years.
10.	Earnings history	Year 1	Year 2
*	Year 3	Year 4	Year 5
*	Year 6	Year 7	Year 8
*	Year 9	Year 10
Earnings should have declined no more than five percent in no more than two of the last ten years.