(Non-constant growth) Pettyway Corp's next annual dividend (D₁) is expected to be $4. After that, the growth rate in dividends over the next three years is forecasted at 8%. And after that, Pettyway's growth rate in dividends is expected to be 5%. The required return is 15%. Then the value of the stock is $
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- Whizcom Inc. is expected to pay a dividend of $1 next period. Dividends are expected to grow at 2% per year and the investors require a return of 12%. i) Compute the current stock price for Whizcom Inc.ii) What would be the likely stock price in year 5?iii) What would be per annum rate of return implied by a change in prices from time 0 to time 5?Dollar Tree Inc (DLTR) is expected to pay a $1.85 dividend, and it is expected to grow at 9.85% for the next 3 years. After 3 years the dividend is expected to grow at the rate of 5.15% indefinitely. If the required return is 8.15%, what is DLTR's stock value today?KIAN Company is expected to pay a dividend of P8.8 at the end of second year. The expected constant growth rate is 4.4% and the stock's current price is P75.50. What is the required rate of return? *
- (Non-constant growth)Pettyway Corp’s next annual dividend (D1) is expected to be $4. After that, the growth rate in dividends over the next three years is forecasted at 6%. And after that, Pettyway’s growth rate in dividends is expected to be 8%. The required return is 11%. Then the value of the stock is $__________.Whizcom Inc. is expected to pay a dividend of $1 next period. Dividends are expected to grow at 2% per year and the investors require a return of 12%. a) What would be the likely stock price in year 5? b) What would be per annum rate of return implied by a change in prices from time 0 to time 5?Bugatti, Inc is expected to pay a dividend of $3.55 next year (i. e., D1 = 3.55) and its current stock price is $48. The discount rate for the company is 13%. If the market expects Bugatti's dividends to grow at a constant rate forever, then the growth rate must be %
- Simon Fixtures Corp. is expected to pay $2.00 per share in dividends at the end of the year. The growth rate in dividends is expected to be constant at 8% per year. If the stock is selling for $50 per share, what is the required rate of return?Connolly Co.'s expected year-end dividend is D1 = $1.00, its required return is rs = 11.00%, its dividend yield is 6.00%, and its growth rate is expected to be constant in the future. What is Connolly's expected stock price in 7 years, i.e., what is 7?The last dividend paid by Coppard Inc. was $1.25. The dividend growth rate is expected to be constant at 15% for 3 years, after which dividends are expected to grow at a rate of 6% forever. If the firm's required return (rs) is 11%, what is its current stock price?
- Orwell building supplies' last dividend was $1.75. Its dividend growth rate is expected to be constant at 24.00% for 2 years, after which dividends are expected to grow at a rate of 6% forever. Its required return (rs) is 12%. What is the best estimate of the current stock price?grey manufacturing is expected to pay a dividend of $1.25 per share at the end of the year (D1=$1.25). The stock sells fo $27.50 per share, and its required rate of return is 10.5%. The dividend is expected to grow at some constant rate, g, forever. What is the equilibrium expected growth rate?Ocean Holding Corp.'s expected year-end dividend (D1) is $4.00, and its required return is 11 %. The company's dividend yield is 5.5 %, and its growth rate is expected to be constant in the future. What is the firm's stock price?
