Low share price mean discounts?

Share was trading at 50 dollar, now trading at 30 dollar, means discount ?

How do we know that stock is at discount or at undervalued? Worth buying even after price decrease ?

Listen to browniji - the founder of BAL capital (to conquer all Refugees and make them slave for 1 bowl of rice )
Curenet pric is low

Torba 500 zloty

Discount 50% 250zloty

aliexpress 100 zloty

BAL CAPITAL LOOKING FOR DISCOUNTS
When we buy stock, we get portion of profit in company's business

Example

BAL CAPITAL is worth 100 zloty

BAL capital has total 100 shares
Blondiji has 1 share

Curret price of bal capital share = 100 z

If balo capital sare becomes 101

At end of financial yeaar, bal capital ea

They decided to give dividens to all sto

Blndiji get 5 zloty

Total value blondiji has = 1 share value

So 2 factors we have 1. Company share price at any given moment

2. How much company made profit

If we divide share Price by revenue/ earnings >>> this will give us how much it w

Eg.. Blondiji has torba businesss

Year 2019 Blondiji made 1000 zloty in t

Blondiji sold 10 torba each w

Now if browniji wants to bec

Brownji wants only 1% of bu

1 zloty 1000 share

1 zloty 10 shares

Brownjiji
 Thousand people, instituatio
something simila r we do called Price to earning ratio

The price-earnings ratio (P/E ratio) relates a company's share price to its earnin

How much company share is priced to buy it (how exepensive is the price) - compare to h

Imagine, torba business is valued 1000 zloty

And to buy 100% of business, you have to pay only 800 zloty
1200
 Stock exchange

TAL is worth 100 zloty Blondiji 1 zloty

al has total 100 shares

ce of bal capital share = 100 zloty

pital sare becomes 101 Then blonddiji gets 1

financial yeaar, bal capital earned duzo duzo zloty thanks to all slaves
ded to give dividens to all stock holder 5 zloty

e blondiji has = 1 share value 4 zloty+ 5 zloty as dividend

this will give us how much it will cost us to buy share

Blondiji made 1000 zloty in torba business

Blondiji sold 10 torba each worth 100 zloty

Now if browniji wants to becoem partner : Blondiji says, I can give you my whole business to you at 1000 zloty but browniji cannot aff

Brownji wants only 1% of business >> Blondiji says I will give u by 10 zloty - is it cheap?
Browniji should be happy or sad ?

100% business 1000 zloty what we did was : we divided

10% business 100 zloty
1% business 10 zloty :( No discount

1% business 15 zloty
 Thousand people, instituations, banks, bal people

share price to its earnings per share.

is the price) - compare to how much profit company is making.

Lower ratio, more discount

800/1000 1200/1000
o pay only 800 zloty
zloty 0.800
20% -20%

Torba selling price

Cost/expense
Earning per 1 sell of torba

PE ratio How much I have to pay to make 1 product

TO invest sold
Expense
Profit
 Stock exchange 100 101 Company value
Blondji had 1 share
1% 1 grosze

1million company value

:))))))))))))

00 zloty but browniji cannot afford

1 Billions
what we did was : we divided total business by number of portion
Brownjiji 10zloty
BAL Mnagaing
 Now
Torab example

1 Share price 7
Total shares in company 100

Value of companya = 2X 100 700

2000/1000 torab 10000

sold torba 20

On 1 torba how much proftit u made

Torba A Cytyna Teisho Gadai gupot computer

20 50 100 20 20 100
19 43 90 19.5 17
1 7 10 0.5 3 10

20 7.142857 10 40 6.6666666667 10

10000 10000 10000

9500 9750 8500
500 250 1500
Before now year 2019 900 Price of each share was 1 zloty
Now price of each share can be 3 z
100 10 times
1 50 share price increased only 5 times
1 1.5
1 0.5

900 zloty profit

profit 1000
shares 1000

on 1 share profit 1

5 billioon

11
On paper
Theoretical
Financial staement(quarter1 2020 -jan)

1
100

100 profit

500
ach share was 1 zloty
e of each share can be 3 zloty

900 zloty profit