ESTIMATION OF INTRINSIC VALUE OF EQUITY SHARE USING VALUE ANCHOR (A CASE STUDY OF HINDUSTAN UNILIVER LIMITED)

The concept of value is like beauty. Just as it is said that “beauty lies in the eyes of the beholder. Value is determined by a person who seeks or perceives value in a thing. In analyzing a company, it is not sufficient just to study its past performance. The environment- economic,legal industrial, social and so on must be understood. Business valuation is a fascinating topic, as it requires understanding of financial analysis techniques in order to estimate value and for acquisition. It also requires good negotiating and tactical skill. Business valuation is important in determining the present value status as well as the future prospects of a company. Fundamental analysis is perhaps, the most popular method used by investment analysts for assessing value of a stock. The earnings potential and riskiness of a firm are contributing to the prospects of the industry to which it belongs.