从纽约证券交易所选择的公司包括Abercrombie and Finch，East Group Properties，Imation Limited，Ladder Capital Corporation和Panhandle Oil and Gas Corporation。之后，贝塔斯，最近几年的CF和股息已经被用来找到CAPM。使用这个CAPM，已经找到了股本回报的风险。
1.Stock model valuation and pros and cons
The disadvantage is that it needs further calculations in order to get to the figure of free cash flow that is required. Another disadvantage is that free cash flow cannot be used as a proxy for the dividend policy of the company and misinterpretation of the amount can be carried out.
2.Data analysis, risk free rate, growth and other data points for analysis
The second part of the essay will look towards 5 companies listed on the Shanghai Stock Exchange and 5 listed on the New York stock exchange and then use CAPM Model to determine the return on equity that is required for the firms. The companies that have been chosen from Shanghai are Dong Feng Automobile Ltd., Huaneng Power International, SPD Bank, Shanghai International Airport and China Minsheng Bank.
From the New York Stock Exchange, the companies chosen are Abercrombie and Finch, East Group Properties, Imation Limited, Ladder Capital Corporation and Panhandle Oil and Gas Corporation. After that, the betas, the latest years CF and dividends have been taken in order to find the CAPM. Using this CAPM, the risk of return on equity has been found.
3.Results and Findings
The last step would be to choose an equity valuation method and use a growth estimate. Using the formula, the intrinsic price of the stock would then be calculated. Putting all this analysis together, the findings would be grouped together and the analysis of intrinsic prices would be carried out. This will determine the better measure to find price and see if the model can be used to find the best measure of intrinsic price.