Equity Valuation

COURSE

This course is a part of CFA Level I study material.

You will learn about the three main equity valuation approaches: present value, multiplier, and asset based.

Study Notes for CFA Level I Equity Valuation: Concepts and Basic Tools

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While investing in stocks, a very basic concept is to understand the value of a stock, and whether i...

Investors and stock analysts use a variety of valuation models to arrive at the fair value of stocks...

The analyst can use a variety of models to estimate the intrinsic value of equities. One such model ...

We learned about how an analyst can value a stock using the dividend discount model, where the analy...

Preferred stocks can be valued using the dividend discount model, as they usually pay a fixed divide...

The Gordon Growth Model (GGM) is a variation of the standard discount model. The key difference is t...

This video demonstrates the valuation of stocks using GGM model with the help of an example in an ex...

We continue with our Dividend Growth Model and understand how the stock value changes with changes i...

In the previous videos we learned about how to calculate the current value of a stock using the divi...

While calculating the value of a stock using the dividend discount model, an important input is the ...

In the previous articles, we learned about how a [dividend discount model](https://financetrain.com/...

While valuing a stock, the analysts will need to make a choice about which valuation model should th...

Apart from the dividend discount models, many analysts use price multiples for valuing the stocks. T...

We have seen that the [P/E ratio](https://financetrain.com/price-to-earnings-pe-ratio-leading-pe-and...

An analyst can also use a multiple based on enterprise value for valuing a firm. The enterprise val...

Asset-based models determine the fair value of a stock by calculating the market value of the firm's...