TradingView
danny_peanuts
2023년 1월 14일 오전 5시 3분

Valuation Rainbow 

Alphabet Inc.NASDAQ

설명

Valuation Rainbow
© danny_peanuts

Stock value based on Book Value, Earnings, Dividends and Money Multiplier

SV = (BVPS + EPS + DPS) * MM

BVPS = Book Value Per Share
EPS = Earnings Per Share
DPS = Dividends Per Share
MM = Money Multiplier - Integer Number from 1,2,3, ... ,7

There are multiple ways of valuing the stock. Book value is traditionally used as the basic valuation since it's calculate the total asset value minus the liabilities of any company. There are valuation based on multiplication of book value, there are valuation based on multiplication of earnings, and valuation based on multiplication of dividends. Here I'm proposing valuation based on all of these combined. So this indicator is measuring stock value based on multiplication of book value plus earning plus dividend per share. Since the money supply could have an multiplication effect so does the stock value could have a multiplication effect. Also notes that some blue chips stock tends to value higher than startup stock due to money is not equally distributed. So for simplicity I will use simple integer number to represent this multiplication effect as rainbow color plots, thus it can be applied to any stock at any given countries. The higher the stock price on valuation bands the most expensive it is and the lower the price on valuation bands the cheaper it is.

릴리즈 노트

Adding Color Gradient

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Adding Gradient Color

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Update Transparent Gradient

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Update Chart

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Update Gradient Color

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Add Fractional Valuation

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Add Valuation Multiplier x2, x6, x8
Add Valuation Divisor x0.2, x0.6, x0.8

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Update Color Gradient

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Increase Gradient Multiplier and Divisor

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Update Rainbow Color

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Update Line Transparency

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Fix Incorrect Label

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Add the Cashflow component to the equation. So it become the stock valuation based on Book Value, Earnings, Dividends, Cashflow and Money Multiplier

SV = (BVPS + EPS + DPS + CFPS) * MM

BVPS = Book Value Per Share (Asset - Liabilities)
EPS = Earnings Per Share
DPS = Dividends Per Share
CFPS = Free Cash Flow Per Share
MM = Money Multiplier

릴리즈 노트

Renaming to accommodate other Scripts:
- Stock Value Rainbow: script to estimate stock value based on book value, earning, dividend, cashflow
- Index Value Rainbow: script to estimate index value based on fed balance sheet or base money supply
- Gold Value Rainbow: script to estimate gold value based on global base money supply
코멘트
danny_peanuts
In order to get nice full chart plot, right click scale bar and select 'Scale Price Chart Only'
fredericvc
I love this indicator! Thanks for creating it! :)
orangehippo4225
thankyou is this indicator able to generate price values for listed nifty {indian} stocks aswell?
danny_peanuts
@orangehippo4225, yes this applicable for all stocks as long as underlying data are provided by trading view.
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