Description
In this module we focus on valuing stock. A manager’s objective should be to maximize the value of the firm’s common stock. Therefore, it is necessary to understand what determines stock value.
Explain the difference between valuing for preferred stock and common stock and how to calculate for each. As an investor, would you ever want to invest in preferred stock? Some analysts place preferred stock in the same category as bonds. Is this a correct assumption? Do they possess similar traits?
