Difference between revisions of "Dividend Growth Model"
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| − | Dividend Growth Model | + | The Dividend Growth Model (Gordon-Shapiro): |
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| + | <math>\Large {Present\ Value} = \sum_{t=1}^{\infty}\frac{D_t}{(1+C_{equity})^t}</math> | ||
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| + | The <math>C_{equity} = \frac{D_1}{P_0}+g</math> | ||
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| + | Where | ||
| + | * <math>P_0</math> is the present value | ||
| + | * <math>D_1</math> is the dividend | ||
| + | * <math>g</math> is the growth rate | ||
| + | |||
| + | |||
[[Category:finance]] | [[Category:finance]] | ||
Revision as of 19:24, 27 August 2020
The Dividend Growth Model (Gordon-Shapiro):
Failed to parse (unknown function "\Large"): {\displaystyle \Large {Present\ Value} = \sum_{t=1}^{\infty}\frac{D_t}{(1+C_{equity})^t}}
The
Where
- is the present value
- is the dividend
- is the growth rate