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LogoutA multiple-period dividend discount model is a variation of the dividend discount model. It is often used in situations when an investor is expecting to buy a stock and hold it for a finite number of periods and sell the stock at the end of the holding period.
Similar to the general dividend discount model, the multiple-period model is based on the assumption that the intrinsic value of a stock equals the sum of all future cash flows discounted back to their present values.