Question
6. (2 points) Use the dividend discount model to value a share of Toyotas stock (ticker symbol: TM) as of December 31, 2022. In your
6. (2 points) Use the dividend discount model to value a share of Toyotas stock (ticker symbol: TM) as of December 31, 2022. In your application of this model, use the data provided on the most recent Toyota Value Line report to estimate the necessary dividend payment and the firms equity beta. Assume, that the expected growth rate of dividends in perpetuity (g) ranges from 2.5% to 3.5%/year. Since Toyota is a non-US firm, dividends per share on Value Line are referred to as Gross Dividends Declared per ADR. For directions on how to access Value Line Reports via the SU website, see the Website Instructions provided on Canvas. 7. (4 points) Estimate Amazons (ticker symbol: AMZN) current weighted average cost of capital (WACC). For each input used in your estimation of Amazons current WACC, explain what data was retrieved from what source on what date. See my estimation of Weyerhaeusers WACC (on Canvas) as a guide as well as the document entitled Website Instructions also available on Canvas.
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