Quote Originally Posted by samdaman View Post
Ill use AIA as an example,

EPS: 0.12
Growth: 4% (redid with 3% and it still came out with a value of 5.2)
COE: 5.37 (using dividend growth of 2%)

with a 2% growth it comes out closer to morningstars valuation however unless I've calculated that too low wouldn't 2% be on the light side for AIA?
EPS is 0.1134 so not sure where you got your 0.12 from (rounding perhaps?)
Growth of 4% seems reasonable
I would suggest you find a model that doesn't use cost of equity (COE), weighted average cost of capital (WACC), risk free rates, beta co-efficient, etc this just complicated the crap out of things.

I just created my own spreadsheet in excel that I go off, would you like me to email it through to you?