Post for: #Gordon Growth Model ^{(3 Posts)}

Introduction

In this article, we will look at two closely related real estate developers listed on the Hong Kong Stock Exchange. The two companies are Hang Lung Group (0001.HK) and Hang Lung Properties (0101.HK). Both companies consistently pay dividends, and they are currently trading at very attractive dividend yields. We shall attempt to compare the financials of the companies and determine which stock is a better investment.

The Gordon Growth Model, or GGM, is a valuation method for calculating the intrinsic value of a dividend-paying stock. The model is particularly suitable for valuing mature companies with stable operations and sustainable growth in dividends. In this article, a…

The Gordon Growth Model, commonly known as GGM, is a simplified form of the dividend discount model that is used for estimating the intrinsic value of dividend-paying stocks. The GGM is a straight-forward but effective model that calculates the intrinsic…