Would you recommend to buy or sell the shares in November

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Question - The stock picked is OFX Group ltd DPS is the total annual dividend per share paid for the financial year. Based on the previous 5-year pattern of DPS payments, estimate the intrinsic values using 1-stage models (the constant dividend growth model), and the 2-stage non-constant dividend growth model. Please use the 10-year Government bond yield as the Dividend growth rate in the equilibrium stage. You need to choose which model is the most appropriate one to use, and compare the intrinsic value versus the share price as of November 2020 ('current price'). Would you recommend to buy or sell the shares in November 2020?

Reference no: EM133008093

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