Refer this training:
Can elaborate more about what the 1% and 4% you are referring to? I couldn’t reply you without knowing that.
Noted thanks. May I know if the 1% and 4% guess figure inserted each in both of the formulas considered common standard to follow or is there a guide on this?
There are three methods to estimate the growth rate. But those three will come up with 3 different result. Use the lowest for more conservative intrinsic value calculation.
Hi KC, I notice in notes above that the growth rate result of method 2 (Compounded Annual Growth Rate (CAGR) of net profit) 0.62% is quite far off compared to method 1 and 3 which is around 4%. Please correct me if I am wrong. Thanks