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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: sjemmeri who wrote (15962)	12/27/2002 12:12:38 PM
From: TimbaBear	Read Replies (1) \| Respond to of 78644

Steven Doesn't a higher estimate of fair value imply a higher warrant strike price and therefore a lower warrant value? Yeeeessssss.....but I'm not sure where you are going with this. I made my own estimate of Fair Value and it looks as though the "professionals" are estimating much higher than I on both the "New Common" AND the new warrants. So, I don't know how that fits in with your thinking. Don't you need to apply Black-Scholes or some other option valuing method at this point? Well, if I were discounting the future value as part of my analysis I guess I would want to use some formulation that does that. I've never given much value to Black-Scholes, but they did win a Nobel Prize, so some folks put value in their genius. If you are familiar enough and can do it, I would be interested to see what value is derived using their methodology. Timba