Assume a corporation has just paid a dividend of $ 3.28 per share. The dividend is expected to grow at a rate of 3.9% per year forever, and the discount rate is 6.2%.
What is the Capital Gains yield of this stock?
Capital gains yield is equal to the growth rate of the corporation
which is equal to
=3.9%
Assume a corporation has just paid a dividend of $ 3.28 per share. The dividend is...
Assume a corporation has just paid a dividend of $ 1.24 per share. The dividend is expected to grow at a rate of 3.9% per year forever, and the discount rate is 9.3%. What is the Capital Gains yield of this stock?
Assume a corporation has just paid a dividend of $ 4.24 per share. The dividend is expected to grow at a rate of 2.9% per year forever, and the discount rate is 9.3%. What is the Capital Gains yield of this stock?
Assume a corporation has just paid a dividend of $ 2.13 per share. The dividend is expected to grow at a rate of 2.4% per year forever, and the discount rate is 8.1%. What is the dividend yield of this stock?
Question 5 5 pts Assume a stock pays a dividend of $5, which will never change. If the discount rate is 10%, what should be the price of the stock today? Enter your answer in dollars, rounded to the nearest cent (2 decimals). D Question 10 5 pts Assume a corporation has just paid a dividend of $ 3.84 per share. The dividend is expected to grow at a rate of 4.1 % per year forever, and the discount rate...
JUST NOW, Von Bora Corporation (VBC) has paid a $3.4 dividend per share. If you expect VBC's dividend to grow by 6.1% per year forever and VBC's equity cost of capital to be 13%, then the value of a share of VBC stock is closest to Select one: O a. $52.28 O b. $49.28 O c. $27.75 d. $59.14
Storico Co. just paid a dividend of $3.40 per share. The company will increase its dividend by 20 percent next year and will then reduce its dividend growth rate by 5 percentage points per year until it reaches the industry average of 5 percent dividend growth, after which the company will keep a constant growth rate forever. 1) If the required rate of return on Storico’s stock is 13 percent, What should a share of stock sell for today? What...
Contact Corporation just paid a dividend of $1.50 per share. The company expects that the dividend will grow at a rate of 10% for the next two years. After year two it is expected that the dividend will decline at a rate of 3% indefinitely. If the required return is 12%, what is the value of a share of stock?
Just today, Fawlty Foods, Inc.'s common stock paid a $1.40 annual dividend per share and had a closing price of $21. Assume that the market's required return, or capitaliza¬tion rate, for this investment is 12 percent and that dividends are expected to grow at a constant rate forever. a. Calculate the implied growth rate in dividends. b. What is the expected dividend yield7 c. What is the expected capital gains yield7.
A company has just paid a dividend of $3.35 per share. It is estimated that the company's dividends will grow at a constant rate of 4.7% per year forever. What is the expected dividend per shares in 4 years? (Provide your answer as a number with two decimal points.)
Ex 4) The CI Corp. has just paid a cash dividend of $2 per share. If investors require 16% return from investments such as this and the dividend is expected to grow at a steady 8% per year, what is the current value of the stock? What will the stock be worth in 5 years, given the same assumptions about the required return and the dividends? Answer: $27; $39.67Ex 5) A stock is selling for $40 per share currently. The...