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Case study: company valuation of pt group

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Resumo:Portugal is currently living in an Economic Crisis, which led to financial aid and control by the commonly called “Troika” (European Union, European Central Bank and International Monetary Fund). Therefore, it is interesting to see how companies and the Stock Exchange in general are being affected by the country’s economic problems. Furthermore, this is a special period in the History to analyse companies and compare how they are currently valuated in the market, to their fair value. As so, this case study concerns a Portuguese company quoted on Euronext and New York Stock Exchange (NYSE), PT Group. After the announcement of a merger between Oi (Brazilian company in the telecommunication sector) and PT, it is even more crucial to analyse the value of this company and understand how the markets reacted to it. In this study, PT’s valuation and its fair value was found to be close to the price quoted on the market. As so, the recommendation is for the investors to hold.
Autores principais:Matos, Inês Alexandra Tomás de
Assunto:Dividend discounted Model Multiples Cash flows Finanças Política de dividendos Avaliação de empresas Mercado financeiro
Ano:2014
País:Portugal
Tipo de documento:dissertação de mestrado
Tipo de acesso:acesso aberto
Instituição associada:ISCTE
Idioma:português
Origem:Repositório ISCTE
Descrição
Resumo:Portugal is currently living in an Economic Crisis, which led to financial aid and control by the commonly called “Troika” (European Union, European Central Bank and International Monetary Fund). Therefore, it is interesting to see how companies and the Stock Exchange in general are being affected by the country’s economic problems. Furthermore, this is a special period in the History to analyse companies and compare how they are currently valuated in the market, to their fair value. As so, this case study concerns a Portuguese company quoted on Euronext and New York Stock Exchange (NYSE), PT Group. After the announcement of a merger between Oi (Brazilian company in the telecommunication sector) and PT, it is even more crucial to analyse the value of this company and understand how the markets reacted to it. In this study, PT’s valuation and its fair value was found to be close to the price quoted on the market. As so, the recommendation is for the investors to hold.