IPOs and ESOPs
IPOs (Initial public offerings) and ESOPs (Employee Share Ownership Plans) are also means of stock ownership except that the companies involved are not yet listed in a stock exchange. This also means that unlike listed companies which must follow legal requirements for disclosure, these stocks — especially ESOPs — don't have much public data available for analysis. For IPOs, the formulas that can be used for evaluations are the NCAV ones or, if sufficient past earnings data is available, the enterprising ones. Thus the same forms can be used for analysis of IPOs as well. Depending on the data entered, GV will let you know if the IPOs is an NCAV or Enterprising and how much you should pay for it. ESOPs however are trickier since they have absolutely no public data available. But since they are offered to employees who have the opportunity to observe the company at a very close range, these can be analyzed using the above forms too using a little discretion and obtaining the required...