Economics Homework Help

Saudi Electronic University Stocks Intrinsic Value Discussion

 

I’m working on a finance question and need guidance to help me learn.

There are multiple methods that can be used to determine a stock’s intrinsic value. These can include utilizing such factors such as dividend streams, discounted cash flows, residual income, comparable companies’ analysis, etc. Select at least one approach and explain why you feel that is a good method for determining the intrinsic value of a stock.

Then, select a publicly traded company in Saudi Arabia, and use your selected method to determine what you consider is its intrinsic value and illustrate whether you feel the stock is underpriced, overpriced, or fairly price. 

Explain why these concepts are important to business leaders in Saudi Arabia and Saudi Vision 2030.