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A comment on Netflix's Junk Bonds Explain How We Are in a Corporate Debt Bubble. Parent comment

Re:Netflix's Junk Bonds Explain How We Are in a Corporate De... by badpun on Tuesday February 04, 2020 @09:05AM (#22235597)
> There's no such thing as 'underlying worth' :)

The primary function of an asset is to generate income - through dividends, rent, bond interest etc. This income determines asset's underlying worth.

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Re:Netflix's Junk Bonds Explain How We Are in a Corporate De... by jariel on Tuesday February 04, 2020 @04:15PM (#22241063)
Funny because Apple hardly ever pays dividends. So what is APPL worth?

Even if they did, what is a single share that produces $1 a month 'worth'? It depends on your cost of capital.

In both cases, they are 'worth' what someone will pay for them :)

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Re:Netflix's Junk Bonds Explain How We Are in a Corporate De... by xsmasher on Saturday February 08, 2020 @07:07PM (#22279518)
AAPL has been paying dividends four times a year since 2012.
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Re:Netflix's Junk Bonds Explain How We Are in a Corporate De... by JamesBarney on Tuesday February 04, 2020 @11:40AM (#22237631)
It seems like you're getting at discounted future cash flow. But this has an easy explanation for why assets are more expensive. Interest rates are incredibly low which discounts future cash less.
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