A company has a book value per share of Rs. 137.80. Its return on equity is 15% and it follows a policy of retaining 60% of its earnings. If the Opportunity Cost of Capital is 18%, compute  the price of the share today using both Dividend Growth Model and Walter's Model.

Answer rating: 100% (QA)

To compute the price of a share using both the Dividend Growth Model and Walters Model we need the following information Book value per share Rs 13780 ... View the full answer