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For 2023, Toyord Corporations dividends are expected to be $3 per share. After that, dividends will grow at a 5% rate. Between now and 2023,
For 2023, Toyord Corporations dividends are expected to be $3 per share. After that, dividends will grow at a 5% rate. Between now and 2023, the firm will not distribute any dividends. The risk premium on the Market Portfolio is 5%, the beta of Toyord stock is 1.1 and the risk-free rate is 4.5% per year.
What is the fair price of one share of Toyord stock today according to the CAPM ?
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