Episode Details
Back to Episodes
Session 24 (MBA): Dividend Analysis and First Steps on Valuation
Description
In this class, we put the closing touched on dividend policy analysis by going through the possess of estimating FCFE, the cash flow left over after capital expenditures, working capital needs and debt payments. My suggestion is that you estimate the aggregate FCFE over 5 years (or as many years as you have data) and compare it to the cash returned. We ended the class by talking about the distinction between valuing equity and valuing an entire business.
Slides:
http://www.stern.nyu.edu/~adamodar/podcasts/cfspr16/Session24.pdf
Post class test: http://www.stern.nyu.edu/~adamodar/pdfiles/cfovhds/postclass/session24test.pdf
Post class test solution: http://www.stern.nyu.edu/~adamodar/pdfiles/cfovhds/postclass/session24soln.pdf
Learn more about your ad choices. Visit megaphone.fm/adchoices