Question: Please show all calculations and formulas. Thumps up for correct answer Case Questions 0 What is Disney stock's intrinsic value using each of the four

 Please show all calculations and formulas. Thumps up for correct answerCase Questions 0 What is Disney stock's intrinsic value using each of

Please show all calculations and formulas. Thumps up for correct answer

the four models? 0 Constant Growth Model 0 Multi-Stage Growth Model 0Discounted Dividend Model 0 Market Multiples Approach . DISNEY'S NUMBERS Use the

Case Questions 0 What is Disney stock's intrinsic value using each of the four models? 0 Constant Growth Model 0 Multi-Stage Growth Model 0 Discounted Dividend Model 0 Market Multiples Approach . DISNEY'S NUMBERS Use the following information on Disney to answer the case questions. Disney's current stock price is $140.00 per share. The aver- age growth rate of the company's dividend has been 17.7% from 2004 through 2018. Disney's return on equity is 28.0% and the company retains approximately 80.0% of its profits while paying out the remain- ing 20.0% in dividends. The company's stock currently trades at 21.21 times its cur- rent year earnings estimate of $6.60 per share. Analysts expect the company to earn $6.19 per share in 2020 and $6.93 in 2021. Disney's peers in media networks trade at 25.5 times their current year earnings estimates while peers in parks, experi- ences and consumer products at 21.9; studio entertainment at 19.1 and DTCI at 14.1. Assume the expected return for Disney's stock is 6.9%

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!