Scribd
Upload
4 views

Value of Assets in Place $6.80 Value of Stable Growth $16.49 Value of High Growth $14.38

The document breaks down the value of a company into three parts: the value of assets in place at $6.80, the value of stable growth at $16.49, and the value of high growth opportunities at $14.38. It then provides the inputs and outputs of a two-stage dividend discount model valuation of the company.

Uploaded by

minhthuc203
Copyright
© Attribution Non-Commercial (BY-NC)
Available Formats
Download as XLS, PDF, TXT or read online on Scribd
4 views

Value of Assets in Place $6.80 Value of Stable Growth $16.49 Value of High Growth $14.38

The document breaks down the value of a company into three parts: the value of assets in place at $6.80, the value of stable growth at $16.49, and the value of high growth opportunities at $14.38. It then provides the inputs and outputs of a two-stage dividend discount model valuation of the company.

Uploaded by

minhthuc203
Copyright
© Attribution Non-Commercial (BY-NC)
Available Formats
Download as XLS, PDF, TXT or read online on Scribd
You are on page 1/ 3

Break Down of Value Value of Assets in Place = Value of Stable Growth = Value of High Growth =

$6.80 $16.49 $14.38

212372729.xls.ms_office

Two-Stage Dividend Discount Model Enter the following inputs for the two-stage DDM
Current Inputs Current Earnings per share = High Growth Period Length of high-growth period (n) = 5 Growth rate during period (g) = Cost of Equity during period = Stable Growth Period Growth rate in steady state = Payout ratio in steady state = Cost of Equity in steady state = 5.00% 66.67% 9.20% $3.08 $27.79 $30.87 (in percent) (in percent) (in percent) 9.73% 8.82% Payout ratio during period () = 37.50% (Number of periods) (in percent) (in percent) (in percent) Year 1 2 3 4 5 Terminal Year Terminal Price EPS 1.76 1.93 2.11 2.32 2.54 2.67 $1.60 (in $ per share) 0.603064

Output
PV of Dividends = PV of Terminal Price = Value per share =

Page 2

212372729.xls.ms_office

DPS 0.66 0.72 0.79 0.87 0.95 1.78 42.41

PV of DPS 0.60 0.61 0.62 0.62 0.63

PV of DPS

27.7941292

Page 3

You might also like