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When valuing companies, we pay attention to the market price. Why? O A . The information we extract from markets can improve our valuations. We

When valuing companies, we pay attention to the market price. Why?
O A. The information we extract from markets can improve our valuations. We can extract
information on implied growth rates, risk and cash flows.
O B. Good investments come from market prices moving to an assets intrinsic value. Therefore, we need to understand the drivers of the market price and how/whether it will adjust to our estimated value over time.
O C. Markets are consistently wrong, we can outguess them consistently.
OD. A and B

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