Symon's Suppers Co. has announced that it will pay a dividend of $4.19 per share one year from today. Additionally, the company expects to increase its dividend by 4.2 percent annually. The required return on the company's stock is 10.4 percent. What is the current share price?
Current share price = D1 / required rate - growth rate
Current share price = 4.19 / 0.104 - 0.042
Current share price = 4.19 / 0.062
Current share price = $67.58
Symon's Suppers Co. has announced that it will pay a dividend of $4.19 per share one...
Symon's Suppers Co. has announced that it will pay a dividend of $4.45 per share one year from today. Additionally, the company expects to increase its dividend by 3.9 percent annually. The required return on the company's stock is 11.7 percent. What is the current share price?
Symon's Suppers Co. has announced that it will pay a dividend of $4.25 per share one year from today. Additionally, the company expects to increase its dividend by 4.5 percent annually. The required return on the company's stock is 10.7 percent. What is the current share price?
Symon's Suppers Co. has announced that it will pay a dividend of $4.21 per share one year from today. Additionally, the company expects to increase its dividend by 4.3 percent annually. The required return on the company's stock is 10.5 percent. What is the current share price? $64.51 $63.74 $67.90 $70.82 O $40.10
General Importers announced that it will pay a dividend of $3.75 per share one year from today. After that, the company expects a slowdown in its business and will not pay a dividend for the next 6 years. Then, 8 years from today, the company will begin paying an annual dividend of $1.85 forever. The required return is 11.6 percent. What is the price of the stock today?
General Importers announced that it will pay a dividend of $3.95 per share one year from today. After that, the company expects a slowdown in its business and will not pay a dividend for the next 7 years. Then, 9 years from today, the company will begin paying an annual dividend of $2.05 forever. The required return is 12 percent. What is the price of the stock today?
General Importers announced that it will pay a dividend of $4.05 per share one year from today. After that, the company expects a slowdown in its business and will not pay a dividend for the next 5 years. Then, 7 years from today, the company will begin paying an annual dividend of $2.15 forever. The required return is 12.2 percent. What is the price of the stock today? $12.44 $13.52 $11.48 $17.62 $3.61
Problem1: The XYZ Co. just paid a dividend of $1.95 per share on its stock. The dividends are expected to grow at a constant rate of 4% per year indefinitely. Assume investorsrequire a return of 10.5 % on the XYZ Co. stock. What will the price be in 3 years? Show yourwork/calculations Problem2: The ABCorp. paid an annual dividend of $1.37 a share last month. Today, the company announced that future dividends will be increasing by 2.8 percent annually. If...
Triangular Co. will pay a dividend of $3.25 per share, today. The company will continue to pay dividends on a yearly basis, and increase its dividend by 12 percent per year for the next 5 years. After that, the expected dividend growth rate will be negative 3 percent per year forever. If the required return on Triangular stock is 8 percent, and a stock’s share price is equal to the PV of all remaining dividend payments, what will a share...
Triangular Co. will pay a dividend of $3.25 per share, today. The company will continue to pay dividends on a yearly basis, and increase its dividend by 12 percent per year for the next 5 years. After that, the expected dividend growth rate will be negative 3 percent per year forever. If the required return on Triangular stock is 8 percent, and a stock’s share price is equal to the PV of all remainingdividend payments, what will a share of...
9. Knightmare, Inc., will pay a dividend of $6.15, $9.05, and $12.25 per share for each of the next three years, respectively. The company will then close its doors. Investors require a return of 11.7 percent on the company's stock. What is the current stock price? 10. Brickhouse is expected to pay a dividend of $2.90 and $2.36 over the next two years, respectively. After that, the company is expected to increase its annual dividend at 3.4 percent. What is...