Visa has just paid an annual dividend of $1.24. Visa's dividends will grow by 7% for the next 4 years, and then grow by 1% thereafter.
Visa has just paid an annual dividend of $1.24. Visa's dividends
will grow by 7% for the next 4 years, and then grow by 1%
thereafter. Visa has a required return of 9%.
Walmart has just paid an annual dividend of $3.22. Dividends are
expected to grow by 8% for the next 4 years, and then grow by 2%
thereafter. Walmart has a required return of 11%.Part 1What is the expected dividend in four years?Part 2What is the terminal value in four years (P4P4)?Part 3What is the value of the stock now?
Walmart has just paid an annual dividend of $3.71. Dividends are
expected to grow by 7% for the next 4 years, and then grow by 4%
thereafter. Walmart has a required return of 11%. (Note the wording
of this problem. Typically, when a problem says "expected to grow
for the next X years", they mean that the the cashflow will grow
constantly up to the end of year X, then the cashflow at year X
will grow at some other...
Apple has just paid an annual dividend of $3.5. Dividends are
expected to grow by 22% per year for the next 4 years, and then
grow by 14% thereafter. Apple has an annual required return of
31%.
a) What is the value of the expected dividends in four
years?
b) What is the intrinsic value in the fourth year (V4)?
c) What is the value of the stock now (V0)?
A company just paid out an annual dividend of $4. If the
dividend will grow by 20% for each of the next 2 years, and by 7%
annually thereafter, what should be the price of a share today?
Assume that the required rate of return for the stock is 15%.
$60.00
$66.78
$71.14
$55.65
Colgate-Palmolive Company has just paid an annual dividend
of
$1.99.
Analysts are predicting dividends to grow by
$0.19
per year over the next five years. After? then, Colgate's
earnings are expected to grow
6.9%
per? year, and its dividend payout rate will remain constant.
If? Colgate's equity cost of capital is
7.4%
per? year, what price does the? dividend-discount model predict
Colgate stock should sell for? today?
Acceleron incorporated has just paid annual dividend of $1.50.
Analysts predict dividends will grow by $0.12 per year for the next
seven years. After that, they expect earnings to grow by 4% per
year, and the dividend payout rate to remain constant. If
Acceleron's equity cots of capital is 8.5% per year, what price
should Acceleron stock sell for today?
Membo just paid a dividend of $2.2 per share. Dividends are
expected to grow at 7%, 6%, and 4% for the next three years
respectively. After that the dividends are expected to grow at a
constant rate of 3% indefinitely. Stockholders require a return of
8 percent to invest in Membo’s common stock. Compute the value of
Membo’s common stock today.
7-Suppose that your company just paid a dividend of $1.2; the
dividends are expected to grow at a constant rate of 5%
indefinitely. Today’s market price/share is $45. Suppose also that
your company has some bonds outstanding in the market selling for
$1,035. The bonds have 8 years left to maturity, with 8% coupon
rate with semi-annual payments. If your company’s capital structure
is 35% debt and 65% equity, with the tax rate of 40% what is the
WACC?
Your...
Miltmar Corporation will pay a year-end dividend of $4, and
dividends thereafter are expected to grow at the constant rate of
6% per year. The risk-free rate is 6%, and the expected return on
the market portfolio is 12%. The stock has a beta of 0.86.
a. Calculate the market capitalization rate.
(Do not round intermediate calculations. Round your answer
to 2 decimal places.)
Market capitalization rate.
%
b. What is the intrinsic value of the stock?
(Do not...
A stock just paid an annual dividend of $5.3. The dividend is
expected to grow by 4% per year for the next 4 years. In 4 years,
the P/E ratio is expected to be 21 and the payout ratio to be
60%.The required rate of return is 8%.Part 1What should be the current stock price?