shareValueRImultiStageEPS {stockAnalyst}R Documentation

Calculates value of a share based on EPS growth under the Multistage Residual Income Valuation.

Description

Calculates value of a share based on EPS growth under the Multistage Residual Income Valuation.

Usage

shareValueRImultiStageEPS(bgnBVPS, EPS, r, times, prem, n)

Arguments

bgnBVPS

A number vector.

EPS

A number vector.

r

A number.

times

A number vector.

prem

A number.

n

A number.

Details

The method shareValueRImultiStageEPS is developed to compute share value based on EPS growth under the Multistage Residual Income Valuation for the values passed to its six arguments. Here, bgnBVPS is beginning Book Value Per Share, EPS is Earnings Per Share, r is required rate of return on equity , times is a vector of number of years ranging from 1 to any specified number of years Residual Income Values are to be computed, premium certain premium over book value, n in one finite-horizon model of residual income valuation which assumes that at the end of time horizon n, a certain premium over book value exists for the company.

Value

Input values to six arguments bgnBVPS EPS, r, times , prem and n.

Author(s)

MaheshP Kumar, maheshparamjitkumar@gmail.com

References

Pinto, J. E. (2020). Equity Asset Valuation (4th ed.). Wiley Professional Development (P&T). https://bookshelf.vitalsource.com/books/9781119628194

Examples

shareValueRImultiStageEPS(bgnBVPS=c(6,7,8.25),EPS=c(2,2.5,4),r=0.10, times=c(1,2,3),prem=1.1,n=3)

[Package stockAnalyst version 1.0.1 Index]