L1 51 Equity Valuation: Concepts and Basic Tools
By: Steven Popovic
A: Evaluate whether a security, given its current market price and a value estimate, is overvalued, fairly valued or undervalued by the market,
B: Describe major categories of equity valuation models,
C Explain the rationale for using present‐value of cash flow models to value equity and describe the dividend discount and free‐cash‐flow‐to‐equity models
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