A stock just paid a dividend of $2.34. The dividend is expected to grow at 21.23% for five years and then grow at 4.20% thereafter. The required return on the stock is 12.23%. What is the value of the stock?
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- A stock is trading at $80 per share. The stock is expected to have a yearend dividend of $4 per share (D1 = $4), and it is expected to grow at some constant rate, g, throughout time. The stock’s required rate of return is 14% (assume the market is in equilibrium with the required return equal to the expected return). What is your forecast of gL?A stock just paid a dividend of $2.20. The dividend is expected to grow at 20.84% for three years and then grow at 4.24% thereafter. The required return on the stock is 11.80%. What is the value of the stock?A stock just paid a dividend of $2.46. The dividend is expected to grow at 24.61% for five years and then grow at 3.55% thereafter. The required return on the stock is 12.30%. What is the value of the stock?
- A stock is selling today for $75 per share. At the end of the year, it pays a dividend of $6 per share and sells for $81. Required: a. What is the total rate of return on the stock? b. What are the dividend yield and percentage capital gain? c. Now suppose the year-end stock price after the dividend is paid is $69. What are the dividend yield and percentage capital gain in this case?A stock is selling today for $50 per share. At the end of the year, it pays a dividend of $3 per share and sells for $56. Required: a. What is the total rate of return on the stock? b. What are the dividend yield and percentage capital gain? c. Now suppose the year-end stock price after the dividend is paid is $48. What are the dividend yield and percentage capital gain in this case? A Required What is the total rate of return for the stock? B Required What is the dividend yield and percentage capital gain? C Required Now suppose the year-end stock price after the dividend is paid is $48. What are the dividend yield and percentage capital gain in this case? (Negative amounts should be indicated by a minus sign. Enter your answers as a whole percent.)A stock is selling today for $75 per share. At the end of the year, it pays a dividend of $6 per share and sells for $87. A. What is the total rate of return on the stock? B. What are the dividend yield and percentage capital gain? C. Now suppose the year-end stock price after the dividend is paid is $72. What are the dividend yield and percentage capital gain in this case?
- A stock is expected to pay a $1.90 dividend. The expected return of the stock is 13.7% and dividends are expected to grow at a rate of 2.8%. What is the value of this stock?A stock sells for $ 49.14 . The next dividend will be $ 2.58 per share. If the expected return is 15 %, what must be the expected growth of the stock?
