Editing Pfizer Inc.
The edit can be undone. Please check the comparison below to verify that this is what you want to do, and then publish the changes below to finish undoing the edit.
Latest revision | Your text | ||
Line 647: | Line 647: | ||
Three different methods were used for the valuation: discounted cash-flow analysis (DCF), comparable company analysis and the dividend discount model. Since Pfizer is a late-stage company which is mature, established and its dividends are relatively stable and predictable, DDM could help us produce the closest to reality results. The DDM assumes a constant or stable dividend growth rate, which aligns well with the characteristics of Pfizer. | Three different methods were used for the valuation: discounted cash-flow analysis (DCF), comparable company analysis and the dividend discount model. Since Pfizer is a late-stage company which is mature, established and its dividends are relatively stable and predictable, DDM could help us produce the closest to reality results. The DDM assumes a constant or stable dividend growth rate, which aligns well with the characteristics of Pfizer. | ||
Using this method, under our base case, we found a value per share of $ | Using this method, under our base case, we found a value per share of $36.67. Thus the company is trading at a premium of 0.49% (market value per share right now is $36.85) compared to its intrinsic value. The assumptions taken for this method were the following: | ||
{| class="wikitable" | {| class="wikitable" | ||
|+ | |+ |