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Calculation of expected growth rate- Current stock price = D1 /(r-g) 20= 2.4 /(0.15-g) 20*(0.15-g)= 2.4 3-20g= 2.4 0.60=20g Calculation of expected growth rate- Current
Calculation of expected growth rate- Current stock price = D1 /(r-g) 20= 2.4 /(0.15-g) 20*(0.15-g)= 2.4 3-20g= 2.4 0.60=20g Calculation of expected growth rate- Current stock price = D1 /(r-g) 20= 2.4 /(0.15-g) 20*(0.15-g)= 2.4 3-20g= 2.4 0.60=20g Calculation of expected growth rate- Current stock price = D1 /(r-g) 20= 2.4 /(0.15-g) 20*(0.15-g)= 2.4 3-20g= 2.4 0.60=20g Do get an expected growth rate of a stocks dividends if the calculation is Current stock price = D1/(r-g) please explain what the g stands for....in other words the original question was ITT will pay a dividend of $2.40 a share next year (D1). the price of ITT stock is currently $20 per share. If the required rate of return is 15 percent, what is the expected growth rate of this stocks didividends? please explain in detail the formula = Current stck price = D1/(r-g)
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