Riyad Bank has just paid its annual dividend of SAR1.50 per share. The dividend is expected to grow at a constant rate of 7% indefinitely. The beta of Riyad Bank stock is 1.2, the risk-free rate is 6%, and the market risk premium is 9%. - What Is the intrinsic value of the stock?

You are considering an investment in Justus Corporation's stock, which is expected to pay a dividend of $2.00 a share at the end of the year (D1 = $2.00) and has a beta of 0.9. The risk-free rate is 3.1%, and the market risk premium is 4.0%. Justus currently sells for $31.00 a share, and its dividend is expected to grow at some constant rate, g. Assuming the market is in equilibrium, what does the market believe will be the stock price at the end of 3 years? Do not round intermediate calculations. Round your answer to the nearest cent.

You are considering an investment in the common stock of Remi's Sporting Goods.  The stock is expected to pay a dividend of $1.80 a share at the end of the year (D1=1.80). The stock has a beta of 0.8. The risk-free rate is 4.5%, and the market expected return is 8.0%. The stock's dividend is expected to grow at some constant rate g. The stock currently sells for $24 a share. Assuming the market is in equilibrium, what does the market believe will be the stock price at the end of 4 years?

Visa, Inc. (V) has a beta of 1.08, is selling for $56.72, and will pay a $2.35 dividend at the end of the year. If the stock is priced at $57.15 at year-end, it is __________, so __________ it. Assume the risk-free rate is 3.05%, and the expected market return is 3.92%.   A. underpriced / sell B. underpriced / buy C. overpriced / sell D. fair-valued / hold

The risk-free rate is 3.75% and the market risk premium is 5.07%. A stock with a β of 1.25 just paid a dividend of $2.64. The dividend is expected to grow at 23.21% for three years and then grow at 4.02% forever. What is the value of the stock?

YNA is expected to pay a dividend of $1.0 in Year 1 and $1.2 in Year 2. Analysts expect the price of YNA shares to be $19 two years from now. The risk-free rate of return is 4%, and the expected return on the market portfolio is 14%. The beta of the stock is 1.2.  Compute the intrinsic value of the stock. Round your answer to two decimal places and enter without the dollar sign.

Use the following information to answer questions 1- 2 XQV’s stock is trading at $40. Earnings per share are expected at E1 = $5.00; all will be paid out as dividends. Valuing the stock as a perpetuity P0 =E1 / r, the expected return is 12.5%. The risk-free rate is 6%; the market risk premium is 8%. XQV’s beta is 0.875.     The stock is ………………………………………………….. Group of answer choices a. overpriced b. fairly priced c. underpriced     2. Its alpha is   ………..……………………… %.

A stock is selling for $80 in the market. The company’s beta is 1.5, the market risk premium (rM - rF) is 6%, and the risk-free rate is 2%. The most recent dividend paid is D0 = $2 and dividends are expected to grow at a constant rate g. What’s the dividend growth rate g for this stock? find the stock’s capital gain yield.     8.29%     4.19%     7.68%     7.81%

You are considering an investment in Justus Corporation's stock, which is expected to pay a dividend of $2.25 a share at the end of the year (D₁ = $2.25) and has a beta of 0.9. The risk-free rate is 4.7%, and the market risk premium is 6%. Justus currently sells for $29.00 a share, and its dividend is expected to grow at some constant rate, g. Assuming the market is in equilibrium, what does the market believe will be the stock price at the end of 3 years? (That is, what is ?) Do not round intermediate calculations. Round your answer to the nearest cent. $ es

Assume that Company A is in stable growth. Its current earnings are expected to grow 6% a year in perpetuity, and its stock has a beta of 0.85. If the current Treasury bond rate is 4%, the current estimate of the market risk premium is 6%, and the stock is trading at a P/E ratio of 9.5, estimate Company A's return on equity. The return on equity is?