Question
Adidas paid a dividend yesterday Of $2.50 per share which represents 50% of its net profit per share after tax. Its profits are expected to
Adidas paid a dividend yesterday Of $2.50 per share which represents 50% of its net profit per share after tax. Its profits are expected to grow at 7% per year and it is expected to maintain the same dividend payout ratio. lfyour discount rate is 12% for companies ofsimilar risk, how much would you be willing to pay per share for Adidas?
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Foundations Of Financial Markets And Institutions
Authors: Franco Modigliani, Frank J. Jones, Michael G. Ferri, Frank J. Fabozzi
3rd Edition
0130180793, 978-0130180797
