Free Trial

Safari Books Online is a digital library providing on-demand subscription access to thousands of learning resources.


  • Create BookmarkCreate Bookmark
  • Create Note or TagCreate Note or Tag
  • PrintPrint
Share this Page URL
Help

CHAPTER 13 Stock Research Checklist—Asse... > Are Any Large Shareholders or Raider...

Are Any Large Shareholders or Raiders Working to Uncover the Value of the Under-Valued Asset Plays?

As discussed earlier, when you are looking at asset plays, there may be hidden assets in the company, as but, the market may value the business less than it is actually worth. The market might not be able to identify the hidden asset or assets that you identified (or the value might have been ignored by Wall Street). If you get into those asset plays, you might not be able to reap the benefits, because the market may take years to reflect the true value of the company.

Suppose a large shareholder or raider is working to uncover the value of the company; this can be a good thing. The shareholder or raider may engage in a legal battle or takeover war with the company. The board and management are pressured to act in order to unlock the value of the company. When that happens, as a fellow shareholder you can reap the benefits sooner and use the money to invest in other under-valued opportunities.


  

You are currently reading a PREVIEW of this book.

                                                                                                                    

Get instant access to over $1 million worth of books and videos.

  

Start a Free Trial


  
  • Safari Books Online
  • Create BookmarkCreate Bookmark
  • Create Note or TagCreate Note or Tag
  • PrintPrint