Question
Please calculated the intrinsic values for following stocks using the Constant Growth Dividend Valuation Model and the CAP-M Model if you wish. You can use
Please calculated the intrinsic values for following stocks using the Constant Growth Dividend Valuation Model and the CAP-M Model if you wish. You can use the following 3 sources for the data to support your results I will review these sources and only these sources to see if your work is correct. Show all your work. You should assume a market rate of 12% and a risk-free rate of 4%.
- The Value Line Investment Survey
- Reuters.Com
- Yahoo.com
Please decide if each stock is a potential purchase opportunity if you plan to buy the shares and hold them. (10 Points Each).
- Home Depot Stock (HD)
____________ Market Price ____________Intrinsic Value
- Protor and Gamble (PG)
____________ Market Price ____________Intrinsic Value
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