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A share of stock with a beta of 0.84 currently sells for $59. Investors expect the stock to pay a year-end dividend of $4. The
A share of stock with a beta of 0.84 currently sells for $59. Investors expect the stock to pay a year-end dividend of $4. The T-bill rate is 3%, and the market risk premium is 6%. If the stock is perceived to be fairly priced today, what must be investors' expectation of the price of the stock at the end of the year? Note: Do not round intermediate calculations. Round your answer to 2 decimal places
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