Is there an easy way using a calculator to estimate the multi-stage DDM model.
D1/(1+r) +D2/(1+r)2 +D3/(1+r)3…
Thanks
Is there an easy way using a calculator to estimate the multi-stage DDM model.
D1/(1+r) +D2/(1+r)2 +D3/(1+r)3…
Thanks
You can use the cashflow worksheet [CF] to key in the cashflows.
CFo = 0
C01 … will contain the dividends
C0n will contain the final dividend + the terminal value
Here is a video link that I did on multi-stage DDM using Texas BA II. Hope it does not violate AF policies. Moderators, let me know if it is not appropriate.