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The process emphasized by analysts in therapy
Risk-Free Rate
The theoretical rate of return on investment with zero risk of financial loss, often represented by government bonds.
Expected Dividend
The dividend payment a shareholder anticipates receiving, based on the company's past dividend history or announcements.
Weighted Average Cost of Capital (WACC)
A calculation of a firm's cost of capital where each category of capital is proportionately weighted, used to assess the average rate a company is expected to pay to its security holders.
Cost of Equity
The return a company requires to decide if an investment meets capital return requirements, often estimated using the Capital Asset Pricing Model (CAPM).
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