Let's do some low ball valuation for a few blue chips, most of them beaten until blue-black. I'm using a dividend discounted (DDM) model, with the assumptions: 1. Zero growth rate for dividend 2. Rate of return required = 5% (twice as much as CPF's OA account) 3. Dividends given till perpetuity 4. No special dividends included, unless they occur every year. I'll guesstimate in that case. 5. I'm using a geometric progression, specifically the sum to infinity with first term as the dividend at year 0 and the geometric ratio as the ratio between the 1st yr and the 0th year. The formula is: Sum to infinity = First term / (1 - geometric ratio) Here's an example of a company, ACME, that pays 100 cts dividends every year. The sum is 100/(1-(95.238/100)) = $21. Alright? Let's go: 1. ST Engineering Dividends per share: 14 cts Sum = ......