Question
CONSTANT GROWTH VALUATION Tresnan Brothers is expected to pay a $3.2 per share dividend at the end of the year (i.e., D 1 = $3.2).
CONSTANT GROWTH VALUATION
Tresnan Brothers is expected to pay a $3.2 per share dividend at the end of the year (i.e., D1 = $3.2). The dividend is expected to grow at a constant rate of 10% a year. The required rate of return on the stock, rs, is 17%. What is the stock's current value per share? Round your answer to two decimal places.
$
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Intermediate Financial Management
Authors: Eugene F. Brigham, Phillip R. Daves
13th Edition
1337395080, 9781337395083
