Methodology for Solving Super Normal Growth Stock Valuation Problem
1. Generate dividend cash flows for period of super normal growth.(convert from
earnings if necessary)
Do = Eo x d; where d is the proportion of earnings paid out as dividends
Dn = Do x (
Risk: A concept most decision makers feel they recognize, but hard to define and
Risk can provide a reason for losses:
Risk management requires risk to be managed firm wide.
Sound risk management practices en
Annual Report - report issued annually by a corporation to its shareholders. It contains
basis financial statements and managements analysis of past years operations and
prospects for the future.
The four financial statements contained in most