If Target Corp. (TGT) recently earned a profit of $6.07 earnings per share and has a P/E ratio of 16.5. The dividend has been growing at a 10 percent rate over the past few years. If this growth continues, what would be the stock price in five years if the P/E ratio remained unchanged?

A&T, Inc. paid an annual dividend of $1.47 per share last month. The company is planning on paying $1.56, $1.68, and $1.75 per share over the next three years, respectively. After that, the dividend will be constant at $1.80 per share per year. What is the market price of this stock if the market rate of return is 12 percent? $13.98 $14.65 $13.54 $14.16 O None of these answers are correct

The most recent dividend paid by Altier Corporation was $3.25.  That dividend is expected to grow by 8% this year, and 7% in year two.  Beginning in year three, the dividend is expected to grow at a constant rate of 5%.  With a 12% required return, what is a share of this company's common stock worth today?

Melanie Corp. is growing quickly. Dividends are expected to grow at a rate of 25 percent for the next three years, with the growth rate falling off to a constant 9.9 percent thereafter. If the required return is 14.6 percent and the company just paid a dividend of $4.71, what is the current share price? ( Do not round intermediate calculations, round your answer to two decimal points, i.e. 32.16)

Suppose that a firm's recent earnings per share and dividend per share are $3.10 and $2.10, respectively. Both are expected to grow 7 percent. However, the firm's current P/E ratio of 30 seems high for this growth rate. The P/E ratio is expected to fall to 26 within five years. Compute the dividends over the next five years. (Do not round intermediate calculations. Round your answers to 3 decimal places Years First year Second year Third year Fourth year Fifth year Dividends Compute the value of this stock in five years. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Stock price

A bond with a $1,000 par value and a contract or coupon interest rate of 11%. A new issue would have a floatation cost of 6% of the $1,125 market value. The bonds mature in 7 years. The firm's average tax rate is 30%, and its marginal tax rate is 23%. What is the fırm's after-tax cost of the bond? 9.83% 8.55% 7.57% 6.58%

PerfectlySoft Corp. is experiencing rapid growth. Dividends are expected to grow at 26 percent per year during the next three years, 15 percent over the following year, and then 4 percent per year thereafter indefinitely. The required return on this stock is 8.18 percent, and the stock currently sells for $79.91 per share. What is the projected dividend (in $) for the coming year? Answer to two decimals, carry intermediate calcs. to four decimals.

Mobray Corp. is experiencing rapid growth. Dividends are expected to grow at 25 percent per year during the next three years, 15 percent over the following year, and then 7 percent per year indefinitely. The required return on this stock is 12 percent, and the stock currently sells for $88 per share. What is the projected dividend for the coming year? (i.e. Div 1)

Taussig Technologies Corporation (TTC) has been growing at a rate of 13% per year in recent years. This same growth rate is expected to last for another 2 years, then decline to gn = 7%. a. If D₁ = $2.90 and rs = 13%, what is TTC's stock worth today? Do not round intermediate calculations. Round your answer to the nearest cent. $ What is its expected dividend yield at this time, that is, during Year 1? Do not round intermediate calculations. Round your answer to two decimal places. % What is its capital gains yields at this time, that is, during Year 1? Do not round intermediate calculations. Round your answer to two decimal places. % b. Now assume that TTC's period of supernormal growth is to last for 5 years rather than 2 years. How would this affect the price, dividend yield, and capital gains yield? I. Due to the longer period of supernormal growth, the value of the stock will be higher for each year. Although the total return will remain the same, the distribution between dividend…