Constant growth: Reco Corp. is expected to pay a dividend of $2.25 next year. The forecast for

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Constant growth: Reco Corp. is expected to pay a dividend of

$2.25 next year. The forecast for the stock price a year from now is

$37.50. If the required rate of return is 14 percent, what is the current stock price? Assume constant growth.

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Fundamentals Of Corporate Finance

ISBN: 9781119795438

5th Edition

Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates

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