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Estimates of a firm's returns revealed that of the firm was 0.5, and the historical average market return over the past 5 years has been
Estimates of a firm's returns revealed that of the firm was 0.5, and the historical average market return over the past 5 years has been 13.5%, and the current risk-free rate is 3.37%. The firm just recently released a dividend for $0.39 per share, given an expected dividend growth rate of 1.30%, what is the price per share of the stock, using the CAPM? a. $5.47 b. $4.62 c. $5.54 d. $-5.47
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