问题如下:
Current price per share $20
Current annual dividend per share $2
Annual dividend growth rate for Years 1 – 4: 5%
Annual dividend growth rate for year 5 onwards: 3%
Required rate of return 10%
Based on the above information,the intrinsic value of a stock calculated by using the DDM model is most likely:
选项:
A.undervalued.
B.overvalued.
C.fairly valued.
解释:
A is correct.
The current price of €20 is less than the intrinsic value of €31.56;therefore, the stock appears to be currently undervalued. According to the two-stage dividend discount model:
and
D1 = €2 × 1.05 = €2.1
D2 = €2 × (1.05)2 = €2.205
D3 = €2 × (1.05)3 = €2.31525
D4 = €2 × (1.05)4 = €2.431
D5 = [€2 × (1.05)4](1.03) = €2.503
V4 = €2.503/(0.1 – 0.03) = €35.77
V 0 =31.56(which is greater than the current price of €20)
老师这里不是第五年开始 第四年以后才是以3%增长的吗,所以为什么不是5期,