Question: Please help and show math/calculations for each step. 1. Help create a dividend discount model to value each stock. 2. Help calculate the P/E ratio
Please help and show math/calculations for each step.
1. Help create a dividend discount model to value each stock.
2. Help calculate the P/E ratio and the dividend yield for each stock.
3. Please rank each stock by expected return, highest to lowest.
4. Please rank each stock by expected alpha by comparing the calculated return to the required rate of return. Indicate buy or sell next to each stock, depending on the return derived from your valuation model vs. the required rate of return.
5. Help create a 10-stock equally weighted portfolio with the stocks with the highest expected alpha. Show the beta, expected return and Jensen alpha for this portfolio.
| Risk Free Rate | 2.00% | ||||||||||||
| Market Expected Rtn | 7.00% | ||||||||||||
| EARNINGS PER SHARE | DIVIDEND PER SHARE | ||||||||||||
| Stock Name | Last Price | Beta | Actual | Estimated | Estimated | Estimated | Actual | Estimated | Estimated | Estimated | Constant Growth after 2024 | ||
| 2021 | 2022 | 2023 | 2024 | 2021 | 2022 | 2023 | 2024 | ||||||
| CharityGlobe | $136.35 | 1.11 | $13.64 | $16.18 | $19.49 | $21.83 | $ 6.87 | $ 8.15 | $ 9.82 | $ 11.00 | 2.68% | ||
| Worldwidesigns | $167.60 | 1.07 | $20.95 | $23.74 | $28.05 | $32.23 | $ 8.97 | $ 10.16 | $ 12.00 | $ 13.80 | 3.15% | ||
| Laguild | $174.27 | 1.31 | $11.62 | $14.88 | $17.40 | $20.58 | $ 6.65 | $ 8.51 | $ 9.95 | $ 11.77 | 4.03% | ||
| Edconception | $177.55 | 1.30 | $11.84 | $13.48 | $17.08 | $19.97 | $ 3.41 | $ 3.88 | $ 4.92 | $ 5.75 | 4.70% | ||
| Recorps | $96.05 | 0.93 | $6.00 | $7.00 | $7.83 | $9.36 | $ 3.24 | $ 3.78 | $ 4.23 | $ 5.05 | 4.76% | ||
| Cocompany | $123.00 | 0.68 | $11.18 | $11.87 | $13.43 | $14.93 | $ 5.28 | $ 5.60 | $ 6.34 | $ 7.05 | 4.48% | ||
| Companiesia | $195.52 | 1.04 | $17.77 | $20.46 | $22.25 | $24.23 | $ 9.24 | $ 10.64 | $ 11.57 | $ 12.60 | 4.11% | ||
| Innovationsy | $151.74 | 1.03 | $10.12 | $11.79 | $12.99 | $15.82 | $ 3.28 | $ 3.82 | $ 4.21 | $ 5.13 | 2.43% | ||
| Procorp | $115.55 | 1.27 | $11.56 | $14.79 | $16.23 | $18.21 | $ 3.37 | $ 4.32 | $ 4.74 | $ 5.32 | 3.80% | ||
| Macroby | $135.44 | 1.41 | $15.05 | $19.03 | $22.65 | $25.48 | $ 4.57 | $ 5.78 | $ 6.89 | $ 7.74 | 3.08% | ||
| Corpify | $211.38 | 1.12 | $16.26 | $18.09 | $20.58 | $25.42 | $ 3.97 | $ 4.41 | $ 5.02 | $ 6.20 | 3.52% | ||
| Sacompanies | $10.29 | 1.46 | $0.86 | $1.07 | $1.34 | $1.56 | $ 0.41 | $ 0.51 | $ 0.64 | $ 0.74 | 4.95% | ||
| Instrion | $25.93 | 1.32 | $1.30 | $1.66 | $2.08 | $2.54 | $ 0.69 | $ 0.89 | $ 1.10 | $ 1.35 | 4.48% | ||
| Companypro | $136.67 | 0.88 | $11.39 | $12.32 | $14.29 | $15.74 | $ 2.82 | $ 3.06 | $ 3.54 | $ 3.90 | 2.08% | ||
| Globality | $162.88 | 0.64 | $9.05 | $10.16 | $10.83 | $11.60 | $ 5.21 | $ 5.85 | $ 6.24 | $ 6.68 | 4.12% | ||
| Corlds | $193.14 | 1.01 | $13.80 | $16.55 | $19.29 | $21.16 | $ 7.62 | $ 9.14 | $ 10.65 | $ 11.68 | 2.21% | ||
| Trademax | $96.87 | 1.35 | $8.81 | $11.04 | $14.37 | $16.95 | $ 4.26 | $ 5.34 | $ 6.95 | $ 8.21 | 2.02% | ||
| Incable | $163.71 | 1.49 | $8.19 | $9.69 | $10.88 | $12.19 | $ 2.72 | $ 3.22 | $ 3.61 | $ 4.05 | 4.30% | ||
| Edenterprise | $65.25 | 0.61 | $4.08 | $4.26 | $4.83 | $5.44 | $ 1.24 | $ 1.30 | $ 1.47 | $ 1.66 | 3.35% | ||
| Circularway | $30.92 | 0.92 | $1.55 | $1.73 | $1.93 | $2.07 | $ 0.45 | $ 0.51 | $ 0.56 | $ 0.60 | 3.65% | ||
| Globaling | $75.43 | 0.94 | $4.71 | $5.19 | $5.82 | $6.98 | $ 2.15 | $ 2.36 | $ 2.66 | $ 3.18 | 4.10% | ||
| Ondecorative | $62.24 | 1.25 | $6.92 | $8.04 | $9.87 | $10.98 | $ 1.44 | $ 1.67 | $ 2.05 | $ 2.28 | 3.67% | ||
| Producersora | $196.47 | 1.32 | $19.65 | $24.70 | $28.67 | $34.80 | $ 10.69 | $ 13.44 | $ 15.59 | $ 18.93 | 3.80% | ||
| Designium | $132.40 | 0.77 | $10.18 | $11.75 | $12.51 | $14.46 | $ 4.03 | $ 4.65 | $ 4.95 | $ 5.73 | 4.95% | ||
| Onbusiness | $88.33 | 0.56 | $9.81 | $10.61 | $11.59 | $12.23 | $ 2.08 | $ 2.25 | $ 2.46 | $ 2.59 | 2.25% | ||
| Worldwideway | $111.51 | 1.12 | $6.97 | $8.44 | $10.32 | $12.35 | $ 4.13 | $ 5.00 | $ 6.11 | $ 7.31 | 4.83% | ||
| Businessla | $60.43 | 1.48 | $4.32 | $4.94 | $6.09 | $7.02 | $ 1.07 | $ 1.22 | $ 1.51 | $ 1.74 | 2.84% | ||
| Segmently | $31.24 | 1.23 | $1.95 | $2.20 | $2.60 | $3.18 | $ 1.09 | $ 1.23 | $ 1.45 | $ 1.77 | 4.15% | ||
| Businessist | $137.02 | 1.20 | $8.56 | $10.21 | $12.27 | $14.90 | $ 2.26 | $ 2.70 | $ 3.24 | $ 3.93 | 2.84% | ||
| Makerio | $157.49 | 0.50 | $15.75 | $17.37 | $19.10 | $20.15 | $ 4.28 | $ 4.72 | $ 5.20 | $ 5.48 | 2.42% | ||
| Arsegment | $19.41 | 1.01 | $2.16 | $2.58 | $3.15 | $3.56 | $ 0.91 | $ 1.09 | $ 1.33 | $ 1.51 | 4.01% | ||
| Corpsway | $14.17 | 0.94 | $1.77 | $1.97 | $2.25 | $2.50 | $ 0.53 | $ 0.59 | $ 0.68 | $ 0.75 | 4.07% | ||
| Sasector | $189.29 | 1.34 | $13.52 | $16.94 | $21.27 | $26.61 | $ 4.06 | $ 5.08 | $ 6.38 | $ 7.98 | 2.04% | ||
| Creativecast | $196.94 | 1.40 | $24.62 | $30.51 | $37.43 | $48.99 | $ 9.26 | $ 11.47 | $ 14.07 | $ 18.42 | 4.23% | ||
| Guildpro | $29.54 | 1.44 | $2.95 | $3.30 | $4.03 | $5.18 | $ 1.76 | $ 1.97 | $ 2.40 | $ 3.09 | 2.91% |
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