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a. IBX's stock dividend at the end of this year is expected to be $2.15, and it is expected to grow at 11.2% per year
a. IBX's stock dividend at the end of this year is expected to be $2.15, and it is expected to grow at 11.2% per year forever. If the reguired rate of retum an 18x, stock is 15.2%, cernar. what is it's intrinsic value? If IBX's current market price is equal to this intrinsic value, what is next year's expected price? If an investor were to buy IBX stock now and sell it after receiving the $2,15 dividend a year from now, what is the expected capital gain (i.e., price appreciation) in percentage terms? What is the dividend yield, and what would be the holding-period return
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