The intrinsic value of any stock is its:
A) present value of future dividends.
B) current market price.
C) future value of expected dividends.
D) current dividend yield.

Question

Quizplus · Accepted Answer

The intrinsic value of a stock is determined by discounting the expected future dividends to their present value, reflecting the stock's true underlying value based on its potential to generate cash flows for shareholders.

The Intrinsic Value of Any Stock Is Its