Speculative Earnings and Recent Stock Price Movements

speculative earnings

In a clever and useful analysis, Ronen Israel, Kristoffer Laursen, and Scott Richardson of AQR use the residual income approach to break down how the value of a company’s stock depends on three components: its book value, the value of its predictable earnings, and the value of its speculative earnings.  The first component, the book […]

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M&A Representations and Warranties Insurance in the COVID-19 Environment

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Background on Representations and Warranties Insurance Until the COVID-19 pandemic in the spring of 2020 eclipsed every other development, Representations and Warranties Insurance was generally considered the most significant development in M&A practice of the last few years. Q2 2020 hedge fund letters, conferences and more As a brief background, Representations and Warranties Insurance allows […]

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