Your stockbroker is trying to sell you a stock with a current market price of $54. The stock's last dividend (Do) was $1.45, and earnings and dividends are expected to increase at a constant growth rate of 12%. Your required return on this stock is 15%. From a strict valuation standpoint, you should: A. Buy the stock; it is fairly valued. B. Buy the stock; it is undervalued by $5.67 C. Buy the stock; it is undervalued by $.13. D. Not buy the stock; it is overvalued by $5.67 E. Not buy the stock; it is overvalued by $.13

You purchased a stock at the beginning of the year for $32 and have just received a dividend of $2. You are now thinking of selling the stock for $24. What was your realized return?

b) Your broker has advised you to buy shares of Fast repair computer repair shop, which has paid a dividend of $2 per share annually and will (according to the broker) continue to do so for many years. The stock is currently priced at $18. You have good reason to think that the appropriate rate of return for this stock is 13% per year. Is the stock's present price a good approximation for the true financial value? What would you like to pay for the share and should you buy or sell now?

Suppose you are thinking of purchasing the Moore Co.’s common stock today. If you expect Moore to pay $2.5, $2.625, $2.73, and $2.81 dividends at the end of year one, two, three, and four respectively and you believe that you can sell the stock for $40.97 at the end of year four.  If you required return on this investment is 9%, how much will you be willing to pay for the stock today?

Melissa Cutt is thinking about buying some shares of EZLawn Equipment, at $48.97 per share. She expects the price of the stock to rise to $58 35 over the next 3 years. During that time she also expects to receive annual dividends of $3.51 per share. a. What is the intrinsic worth of this stock, given a required rate of return of 9%? b. What is its expected return? a. The intrinsic worth of this stock is $. (Round to the nearest cent.)

You are considering the purchase of a new stock. The stock is expected to grow at 2.52% for the foreseeable future and just paid a $2.88 dividend (D0). The required return is 8.2%. Based on this, what is the value of the stock? Round calculations to the nearest cent.

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 $59.   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 $44. What are the dividend yield and percentage capital gain in this case?

By investing in a particular​ stock, a person can make a profit in one year of ​$3900 with probability 0.4 or take a loss of ​$800 with probability 0.6. What is this​ person's expected​ gain?

A stock has a holding period return (HPR) of 8% and a CAPM return of 9%.  Which of the following is true? Select one: a. You should buy it since the actual return is greater than the fair return. b. You should not buy it since the fair return is greater than the actual return. c. You should buy it since the actual return is greater than the fair return. d. You should not buy it since the fair return is less than the actual return.

can someone help me with this please and no excel