Purchase Solution

Stock Valuation

Not what you're looking for?

Ask Custom Question

Explain why valuation might be described as a "fickle" process to a stockholder. What factors tend to make the process fickle, and what factors tend to make it more predictable?

Purchase this Solution

Solution Preview

Stock valuation is an attempt to determine the fair market value of stocks using forecasted data like future dividends, future growth rates, etc.

FACTORS

It is impossible to predict fair market vakue of a stock and state with authority that the value you find is going to be acurate at the future date. For example, if I estimate that the FMV of a stock is $23.13 for next month, there is no ...

Purchase this Solution


Free BrainMass Quizzes
Production and cost theory

Understanding production and cost phenomena will permit firms to make wise decisions concerning output volume.

Lean your Process

This quiz will help you understand the basic concepts of Lean.

Marketing Research and Forecasting

The following quiz will assess your ability to identify steps in the marketing research process. Understanding this information will provide fundamental knowledge related to marketing research.

Understanding the Accounting Equation

These 10 questions help a new student of accounting to understand the basic premise of accounting and how it is applied to the business world.

Understanding Management

This quiz will help you understand the dimensions of employee diversity as well as how to manage a culturally diverse workforce.