Asked by
B.Poovika Balakrishnan
on Oct 19, 2024Verified
Everything else equal, which variable is negatively related to the intrinsic value of a company?
A) D1
B) D0
C) g
D) k
Intrinsic Value
The actual value of a company or an asset based on underlying perception of its true value including all aspects of the business, in terms of both tangible and intangible factors.
D1
Often used in dividend discount models, it represents the expected dividend per share for the next year.
- Learn the methodology of implementing the Dividend Discount Model (DDM) to assess the intrinsic value of a stock.
Verified Answer
JM
Learning Objectives
- Learn the methodology of implementing the Dividend Discount Model (DDM) to assess the intrinsic value of a stock.