Question
You must choose a public company with at least 10 year dividend payment history for this project. Sample companies include: WMT, KR, TGT, HD, Lowes,
You must choose a public company with at least 10 year dividend payment history for this project. Sample companies include: WMT, KR, TGT, HD, Lowes, Dillards, JCP, and so on. You should be able to observe its business locally. Be sure to justify your inputs for each valuation model. Compare your valuation to the current stock price and target prices from analysts.
Company I'm choosing: Target
Financials: https://corporate.target.com/annual-reports/2017/financials/financial-highlights
Sales per capita: https://corporate.target.com/annual-reports/2017/financials/sales-per-capita
Stock price history: https://finance.yahoo.com/quote/TGT/history/
Financial Summary: https://corporate.target.com/annual-reports/2017/financials/financial-summary
Growth rate: https://www.nasdaq.com/symbol/tgt/earnings-growth
B1. Estimate the stock price using dividend discount model.
B2. Estimate the stock price using discounted cash flow model.
B3. Estimate the stock price using price multiples such as P/E ratio with at least 5 competitors.
B4. Revenue analysis based on 10-k or annual report
a. Revenue composition or segments or sources.
b. Growth rate of revenue for past few years.
c. Growth strategies
d. KPIs (key performance indicators) or any metrics related to revenue
e. Stock price over the past few years
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started