Problem:
Company: ConocoPhillips
Initiative to shareholders: "Through our investments, we are continuing to increase our emphasis on exploration and production, to which 86 percent of our capital program was dedicated during 2010, with 89 percent planned for 2011."
Annual Report - 2010
Justify the current market price of ConocoPhillips using the 3 valuation models: CAPM, PEG, and DDM.
Show calculations to support findings, including rates of return.
Which model best support the findings?