Spreadsheet models in stock valuation

Abstract

The paper deals with the problem of the application of spreadsheet simulation models for the purpose of stock evaluation of companies listed on the stock exchange. The paper begins from the model that represents the framework for stock evaluation on the international capital markets. It presents in a detailed manner the method of creation of those models and how the received results can be utilized. Bearing in mind the more pressing need for quantitative indicators for stock evaluation in domestic practice, the paper analyses the way in which these models can be used for stock evaluation of domestic companies. The model is run in a modified form for input data for companies that are listed on the Belgrade stock exchange.