Thank you for this wonderful series. This really helps. I just query are you also going to upload a video on how did you forecast the numbers for future years ? If not could we please request the same ? Thanks
Hey WallstreetMojo, people, i have two questions for all of you: 1) looking at this practical example we can say that an hypothetical performing of the dividend discount model (DDM) will be misleading for the Colgate case, since a sustainable dividend growth at 200/300 rate is not realistic. Do you all agree with that? 2) secondly, someone of you can explain me the mathematical reason why we should multiply the ROE for the retention rate? I mean, is there any demonstration of that?
@user-jc6dh6ee9w for the point 2 i can explain :- We multiple the ROE to Retention Ratio because if you see SGR = Retention Ratio*ROE Retention Ration = Retained Earning/Net Income ROE = Net Income/Shareholder's fund at the beginning SGR = (Retained Earning/Net Income)*(Net Income/Shareholder's fund at the beginning) SGR = Retained Earning/Shareholder's fund at the beginning So, we are calculating the growth of the company based on the retained earning infuse in the business. The important part missed in this tutorial is that to Calculate SGR we assume that all the ratio such as Debt to Equity ration, Retention Ratio, Asset turnover ratio will be constant each year.
Rather well articulated series, thoroughly enjoyed the detailing and your repetitions on formulas/basics - immensely helped me. All the best with future videos and your career. Thank you Dheeraj.
I watched whole series of videos. Got lot of knowledge. Thanks a lot Guruji...
Thank you for taking your time throughout this series to provide value. This will really go a long way in helping me in my finance exploration.
Appreciate your feedback, more content coming soon!
Thank you for this wonderful series. This really helps. I just query are you also going to upload a video on how did you forecast the numbers for future years ? If not could we please request the same ? Thanks
I was also wondering if you could make a video for this. Thanks
Thanks for the great video series I saw it all and it came out to be very worthful for me... Thank you
Hey WallstreetMojo, people, i have two questions for all of you: 1) looking at this practical example we can say that an hypothetical performing of the dividend discount model (DDM) will be misleading for the Colgate case, since a sustainable dividend growth at 200/300 rate is not realistic. Do you all agree with that?
2) secondly, someone of you can explain me the mathematical reason why we should multiply the ROE for the retention rate? I mean, is there any demonstration of that?
@user-jc6dh6ee9w for the point 2 i can explain :- We multiple the ROE to Retention Ratio because if you see
SGR = Retention Ratio*ROE
Retention Ration = Retained Earning/Net Income
ROE = Net Income/Shareholder's fund at the beginning
SGR = (Retained Earning/Net Income)*(Net Income/Shareholder's fund at the beginning)
SGR = Retained Earning/Shareholder's fund at the beginning
So, we are calculating the growth of the company based on the retained earning infuse in the business.
The important part missed in this tutorial is that to Calculate SGR we assume that all the ratio such as Debt to Equity ration, Retention Ratio, Asset turnover ratio will be constant each year.
Rather well articulated series, thoroughly enjoyed the detailing and your repetitions on formulas/basics - immensely helped me. All the best with future videos and your career. Thank you Dheeraj.
Really amazing series.🤩🤩
Finished... Thx
Nicely explained
Ma nel caso che la società non dia dividendo, poiché l'utile è interamente lasciato in azienda, come calcolarlo?
Well understood sir
Thank You
Thank you so much!
Appreciate your feedback, more content coming soon!
not able to download the excel
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