Project 2 Rubric

Project 2 Rubric - cost of equity and performed the...

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CAPM and Comparables Valuation Grading Rubric Task Excellent (3) Good (2) Needs Development (1) Points Possible Points received 1. Calculate monthly returns for your company and the market 2 2. Run a regression to calculate the beta of your stock 2 3. Computation of cost of equity using CAPM 2 4. How does your computed beta compare to the published beta? Why do you think they differ? Which one do you think is a better estimate of the market risk of your stock? Do you think the recent market performance is a good indicator of expected or required future returns? 3 5. Perform a comparables valuation in excel 3 6. Evaluate which companies are best 3 7. Using the results of the evaluations of companies and ratios, determine the value of your company using multiples analysis 3 Total 18 For #1, #2, #3, #5, #7, full points if you calculated the returns, ran the regression, calculated the
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Unformatted text preview: cost of equity and performed the comparables valuation. For #4 and #6 Excellent: for # 6. Well-reasoned analysis encompassing why some multiples and some companies make better comparables and excellent analysis of what should be the value of your company based on the results of the multiples valuation. Excellent for #4: Well-reasoned analysis encompassing comparison of the betas and reasoning why you think which one is a better estimate of the market risk and why you think the recent market performance is a good indicator of expected or required future returns. Good: Insufficient analysis and explanations of how to analyze and what the results are Needs development: Computational errors, little analysis...
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This note was uploaded on 09/25/2011 for the course BMGT 220 taught by Professor Bulmash during the Spring '08 term at Maryland.

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