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According to the dividend discount models, the value of a share of common stock is primarily based on dividends. Does it mean that a company

According to the dividend discount models, the value of a share of common stock is primarily based on dividends. Does it mean that a company that does not pay dividends is worthless? What other factors must be considered in the valuation of equity and why?

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No the statement that a companys value is primarily based on dividends refers specifically to the Dividend Discount Models DDM such as the Gordon Grow... blur-text-image

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