Replies to post #23455 on DryShips Inc (fka DRYS)

[Net-Man]

Aloha PBK - Net Asset Value (NAV) is simply the total assets - total debt divided by total shares.

Until DRYS publishes more details it will be difficult to know with any precision what the NAV really is. I have a few assumptions though that I am using, which leads me to NAV of ~$300 - $320 million. The filing yesterday indicated OS of 36,253,870. This would yield a NAV of $8.27 - $8.83.

Most businesses are valued in 2 methods. One is to use a multiplier of the NAV. Usually 4x to 5x times NAV then dividing by the OS to come up with a pps.

The second would be to use a multiplier against previous revenues to come up with a pps. That's a bit more tricky to use at the moment for DRYS.