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J.P. Morgan Chase has large stakes in both commercial and investment banking. The firm has grown through acquisitions, some of which it has had problems
J.P. Morgan Chase has large stakes in both commercial and investment banking. The firm has grown through acquisitions, some of which it has had problems digesting. The expected dividend per share for 2020 is $3.60. The companys ROE is 9.53%, and dividend payout ratio is expected to be 48.45%. What should be the intrinsic price of JP Morgan Chase if the opportunity cost of equity capital is 8%? If the current market price is $98.02 per share, is the stock overvalued/undervalued/fairly priced?
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