Stock Valuation

  • Crossover Rate
    Crossover rate is the cost of capital where two projects have the same net present values (NPV) or where their NPV profiles intersect.
  • Terminal Value (TV)
    Terminal value (TV) is used to estimate the value of a project beyond the forecast period of future cash flows.
  • Preferred Stock Valuation
    Preferred stock is an equity procedure that can be used by any company that wants to fund project expansion.
  • Gordon Growth Model
    The Gordon Growth Model (GGM) helps an investor to determine the intrinsic value of a stock based on the constant rate of growth of its future dividends.
  • Risk Premium
    A risk premium is a return on investment above the risk-free rate that an investor needs to be compensated for investing in higher-risk investments.