Explanation

Answer Example

To identify undervalued assets in a distressed industry, I analyze financial fundamentals, including cash flow and asset value, and compare them to industry benchmarks. I use methods like discounted cash flow analysis and liquidation value estimation to determine intrinsic value. For instance, while assessing a distressed retail company, I identified undervalued real estate holdings that were excluded from the market valuation, leading to a 20% discounted acquisition price. This approach uncovers hidden value in challenging market conditions.