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In chapter ten, we synthesize the concepts of risk, return, and earnings of the company into a final decision making process: the valuation of a stock. Discussed are various methods used to arrive at a fair market value (FMV) of the share of a company. Based on these estimated for FMV, investors decide whether a stock is over priced, under girded or trading at a fair price. After reading the material on valuation, the reader should be able to estimate the fair value of a share, or a company’s total equity, by using the Dividend Discount Model, Free Cash Flow Method, or by using various valuation multiples.