driftwood2

Valuing Assets: The Clueless Cadre

HSB was bought for roughly 5 pe. A bargain by any measure for a reliable business like boiler insurance. It was obviously sold at such a low price because so few people are looking to buy in this environment. The thing that is causing people to price assets at such a low point is fear of an economic collapse. That's what's affecting people's pricing models. It's not about pricing the business, it's about pricing the economy and the future as a whole. Of course, no body has a real crystal ball unfortunately.