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queez 5 3222_1
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Book Value
The net worth of common equity according to a firmâ€™s balance sheet
Liquidation value
Net amount that can be realized by selling the assets of a firm and paying off the debt
Replacement cost
Cost to replace a firm's assets
Tobin's q
Ratio of the market value of the firm to its replacement cost
Intrinsic value
The present value of a firm's expected future net cash flows discounted by the required rate of return
Market capitalization rate
The market consensus estimate of the appropriate discount rate for a firm's cash flows
Dividend discount model
A formula for the intrinsic value of a firm equal to the present value of all expected future dividends
Constant growth dividend discount model
A form of the dividend discount model that assumes that dividends will grow at a constant rate
Dividend payout ratio
Percentage of dividends paid out as earnings
Earnings retention ratio (plowback ratio)
The proportion of the firm's earnings that is reinvested in the business (and not paid out as dividends)
Present value of growth opportunities
Net present value of a firm's future investments
Two stage dividend discount model
Dividend discount model in which dividend growth is expected to level off only at some future date
Price-earnings multiple
The ratio of a stock's price to its earnings per share
PEG ratio
Ratio of P/E multiple to earnings growth rate
Earnings management
The practice of using flexibility in accounting rules to manipulate the apparent profitability of the firm
Author:
Anonymous
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268891
Card Set:
queez 5 3222_1
Updated:
2014-04-02 04:18:46
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queez 5 3222_1
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