Cale X Ente x @ Conf X + BB N X + DM X (12) X HB FINA X | Mail X B Valui X HE FINA X HB Harv x Pear x Coul X + ben.desire2learn.com/d21/le/content/395693/viewContent/2482961/View mail Table of Contents > Week 4 > Case 2 > Valuing Wal-Mart 2010 Valuing Wal-Mart 2010 Instructions 1. As of February 2010, what is your assessment of the worth of Wal-Mart's stock? Utilize the methods below to value the shares, a. The perpetual growth in dividends b. The price/earnings approach You will also need to use Capital Asset Pricing Model to compute the cost of equity of the company. Use this cost to solve question a. Show your work and explain. (50 points) 2. Based on your analysis on the stock price and the financial statements, as Sabrina Gupta, what recommendation would you make and why? Please, be detail. (50 points) Do not consult any outside information. ** You have to use the answer for question 1 and the financial statement analysis. In case the answers in Q1 and your analysis in financial statement indicate different investment strategy such as buy or sell, you have to select one that you think is right, and explain why in detail. M e to search N EPIC O W 77'F Clear