EquityValuationModels幻灯片.pptVIP

CHAPTER 18;Valuation: Fundamental Analysis;Balance Sheet Models Dividend Discount Models (DDM) Price/Earnings Ratios Free Cash Flow Models ;Valuation by Comparables;Limitations of Book Value;Intrinsic Value vs. Market Price;Required Return;The intrinsic value (IV) is the “true” value, according to a model. The market value (MV) is the consensus value of all market participants Trading Signal: IV MV Buy IV MV Sell or Short Sell IV = MV Hold or Fairly Priced ;V0 =current value; Dt=dividend at time t; k = required rate of return The DDM says the stock price should equal the present value of al