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62. Coca-Cola is currently trading on the New York Stock Exchange at $43 per share and the dividend the company paid out last year was
62.
Coca-Cola is currently trading on the New York Stock Exchange at $43 per share and the dividend the company paid out last year was $1.32 per share. According to the Dividend Discount Model, if Coca Cola's dividends are expected to grow at 6% (compounded annually) and a potential buyer of the shares wants to earn a 10% rate of return (compounded annually), then what is the fair market value of the shares?
$43.00 | ||
$43.89 | ||
$34.98 | ||
$44.32
|
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