Select a stock from the S&P 500 that begins with the letter P. Estimate the current value of this stock. Use the discounted free cash flow model or dividend discount growth model to value the stock. Use the most recent 12 months of data ending with the most recent quarter. You will need to estimate the required rate of return (using the capital asset pricing model), cash flow figures (dividend or free cash flow), and growth rate.
Computations must be done in Excel. Upload the Excel file to this assignment by the due date.
Write a paper (approximately 3 pages long, double-spaced, 1-inch margins, 12-inch font) describing your valuation. Explain your assumptions and computations—list sources on a separate page.
