Question
BFHD corp just paid a dividend of $20. Dividends are expected to grow 20% next year, and the growth rate in dividends is expected to
BFHD corp just paid a dividend of $20. Dividends are expected to grow 20% next year, and the growth rate in dividends is expected to decline evenly over the next 10 years to a 5% steady-state growth rate. Assuming a 12% required rate of return, what is the intrinsic value of a share of BFHD?
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International Financial Reporting And Analysis
Authors: David Alexander, Ann Jorissen, Martin Hoogendoorn
8th Edition
978-1473766853, 1473766850
