NEPG (NEP Group) Earnings Power Value (EPV): $-23.78 (As of Dec14)


What is NEP Group Earnings Power Value (EPV)?

NEP Group NEPG Earnings Power Value (EPV) is $-23.78 as of Dec14.

As of Dec14, NEP Group's earnings power value is $-23.78. *

* GuruFocus does not store EPV value into our database if Average Maintenance CAPEX is 0.

Margin of Safety is N/A.

The basic concept of EPV is that one should value a stock based on the current free cash flow of a company and not on future projections which may, or may not, come true. It is arguably a better way to analyze stocks than Discounted Cash Flow analysis that relies on highly speculative growth assumptions many years into the future. Assumption: Current profitability is sustainable.

NEP Group  (NYSE:NEPG) Earnings Power Value (EPV) Explanation

Assumption: Current profitability is sustainable.

Earnings power value (EPV) uses a very basic equation which assumes no growth, although it does rely on an assumption about the cost of capital as well as the fact that current earnings are sustainable. It also involves several adjustments to clean up the underlying Earnings figures.

Be Aware

Though using today's earnings in calculating Earnings Power Value, GuruFocus is normalizing these earnings to the business cycle. This eliminates the effects on profitability of valuing the firm at different points in the business cycle. This means that we are considering the average earnings over 5 years.

NEP Group Earnings Power Value (EPV) Related Terms

NEP Group Earnings Power Value (EPV) Historical Data

* Premium members only.

The historical data trend for NEP Group's Earnings Power Value (EPV) can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

NEP Group Earnings Power Value (EPV) Chart

NEP Group Annual Data
Trend Dec13 Dec14
Earnings Power Value (EPV)
0.00 0.00

NEP Group Semi-Annual Data
Dec13 Dec14
Earnings Power Value (EPV) 0.00 0.00

NEPG vs CRCO, ASKH, PTSX: Earnings Power Value (EPV) Comparison

For the Broadcasting subindustry, NEP Group's Earnings Power Value (EPV), along with its competitors' market caps and Earnings Power Value (EPV) data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

NEP Group Earnings Power Value (EPV) vs Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, NEP Group's Earnings Power Value (EPV) distribution charts can be found below:

* The bar in red indicates where NEP Group's Earnings Power Value (EPV) falls into.


NEP Group Earnings Power Value (EPV) Calculation

Earnings Power Value also known as just Earnings Power is a valuation technique popularised by Bruce Greenwald, an authority on value investing at Columbia University. It is arguably a better way to analyze stocks than Discounted Cash Flow analysis that relies on highly speculative growth assumptions many years into the future.

The basic concept of EPV is that one should value a stock based on the current free cash flow of a company and not on future projections which may, or may not, come true. This valuation tool excludes the potential growth that a company may have so that needs to be looked at separately. Since future growth is excluded from the analysis, only the maintenance capital expenditures are subtracted from after-tax EBIT (earnings before interest and taxes) and growth capex is ignored.

What does a Earnings Power Value (EPV) of $-23.78 mean?
NEP Group (NEPG) has a Earnings Power Value (EPV) of $-23.78 as of Dec14. Bruce Greenwald's earnings power value focuses on current earnings without factoring in future growth. View historical data on NEP Group and its competitors.
Is NEP Group's Earnings Power Value (EPV) too high?
NEP Group's current Earnings Power Value (EPV) is $-23.78.
How does NEP Group's Earnings Power Value (EPV) compare to CRCO and ASKH?
NEP Group's Earnings Power Value (EPV) of $-23.78 can be compared against companies in the Media - Diversified industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Earnings Power Value (EPV) for a Media - Diversified company?
A good Earnings Power Value (EPV) depends on the Media - Diversified industry context. However, Earnings Power Value (EPV) should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Earnings Power Value (EPV) mean?
A high Earnings Power Value (EPV) can signal that a stock is expensive relative to its fundamentals. Bruce Greenwald's earnings power value focuses on current earnings without factoring in future growth. View historical data on NEP Group and its competitors. NEP Group's current Earnings Power Value (EPV) is $-23.78. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NEP Group stock overvalued right now?
NEP Group (NEPG) has a current Earnings Power Value (EPV) of $-23.78. The current Earnings Power Value (EPV) is $-23.78. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Earnings Power Value (EPV) calculated?
Earnings Power Value (EPV) is calculated from a company's financial statements. For NEP Group (NEPG), the current Earnings Power Value (EPV) is $-23.78 as of Dec14. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

NEP Group Business Description

NEP Group Inc was founded on December 24, 2012. The Company is a provider of customized broadcast solutions to the live sports and entertainment markets offering various broadcast and live event services. The Company's engineers design live event solutions and work side-by-side with its clients to customize its solutions and provide real-time support during a broadcast or live event to ensure a seamlessly delivered production. The Company has developed a range of services operating inside and outside of the United States and has supported events. It serves the premium sports, entertainment and other live event production markets, where it offers mission-critical outsourced solutions, including remote production, studio production, video display and host broadcasting. It competes in three primary geographies: the United States, Europe and Australia, servicing the sports, entertainment and other live events markets. It competes against F&F Productions, Game Creek Video, Lyon Video and Mobile Television Group in the United States; Gearhouse Broadcast in Australia; CTV Outside Broadcasts and Telegenic in the U.K.; AMP Visuals, Euro Media Group, Mediapro Group and Top Vision in Continental Europe.