About us
There are many financial analysts, fund managers, broking houses and others who are very competent at sifting through the numbers in the statements of financial position, performance and cash flows of companies and working out the ratios that interest them....earnings per share, return on equity, return on assets, interest cover, debt to equity etc, and weather these ratios are heading in the right direction. For people that follow a fundamental, value approach to investing in listed businesses, these figures are vital. All this information may be used to make projections as to how a business will perform in the future and at what price an investor is prepared to pay for a share in that business.
What makes DirectorRate different
At DirectorRate we add another level of information.
DirectorRate aligns the share price of a company with the tenure of a director and then compares it with the performance of the relevant index. Whilst senior management may be responsible for the profitability of a company, these people are sourced and overseen by the directors. Shareholders have no say in management decisions but they are responsible for the election of directors...in fact, it is the only input they have in the running of their businesses. Many businesses listed on the ASX have no earnings at all, have negative cash flow and little in the way of tangible assets. A lot of investors wouldn't purchase shares in these companies no matter how cheap the price.
For those that are prepared to accept the risk of a mining or gas exploration business, or an emerging technology or communications company...good directorship and executive management is paramount.
Getting most out of DirectorRate
The information contained on the DirectorRate platform is designed to be complementary to investors' needs. It is important to note that the information collated by DirectorRate is more meaningful when gathered over extended time frames. Consistent longer term performance should carry greater weight than brilliant performance over a shorter period.