Discount stock valuation models

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Reference no: EM131340800

Looking at the Apple Stock:

  • 1. Value the stock using the following discount stock valuation models:
    • a. Constant Growth
    • b. Multi-Stage Growth

In doing your valuation, you need to make some assumptions (risk-free rate, market risk premium, T-bills, growth rate etc.) You are also encouraged to use information from Apple's Earnings Statements or Yahoo Finance Company Performance Information (ex. ROE, etc.)

State the assumptions you made clearly. Document links to Websites used to gather data. For example, dividend information can be found here: https://investor.apple.com/dividends.cfm

Calculation should be done in excel. Show your work.

  • 2. How does your valuation based on the valuation models compare with the traded price?

Reference no: EM131340800

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