I am taking finance and my teacher told me that fair value can be calculated by: Present value= expected dividend/expected return-growth rate
This formula stems from PV of a perpetuity where PV=payment/interest.
So really, is fair value calculated that way?
P.S: I would get the expected dividends from Thomson Reuters.
Submitted October 27, 2017 at 09:50AM by ofVic http://ift.tt/2gOeCFe