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Currency Converter USD-FIM
Currency Converter USD-Euro
ADR Daily Report (Yahoo Finance) | The Market Mavens Report: Global Markets
|AMER GROUP LTD.||023512205||OTC||AGPDY||2:||1||MUL|
|ESPOON SAHKO OY 144A||29665T101||144A||ESOYYP||1:||1||UTI|
|HUHTAMAKI OY 144A||444720205||144A||HUHTYP||1:||1||MUL|
|KEMIRA OY 144A||488365107||144A||KERPP||1:||2||CHM|
|SONERA GROUP 144A||835433103||144A||SONRP||1:||4||TEL|
|* Ratio: You'll probably notice a significant difference in price
of the stock, traded as an ADR and on its home exchange. You can easily
calculate an over- or undervaluation (and, of course, a fair valuation). All
you need is the ratio of ADR to stock, as listed in the table above, and the
exchange rate of the US-Dollar to this country's currency. The following,
generalized example explains how to calculate.
On June 26, 1998, the Swiss ADR Sulzer Medica, with a ratio of 10:1, was priced USD 24 7/8. In Zurich, its home exchange, Sulzer traded at 379 Swiss Francs. The Dollar/Franc - Exchange rate was 1.526 (1 Dollar buys 1.526 Swiss Francs). Now we can calculate: Multiply the price in Dollar with the ratio (10): 24 7/8 x 10=USD 248.75. With other words, ten ADR's equal one share of Sulzer Medica and will cost you $248.75 (excluding transaction costs). Now you multiply this Dollar-amount with the exchange rate: $248.75 x 1.526=SFR 379.59. The ADR has been valued fair.
The Bank of New York offers free software, which does all the calculation.