Question
Intel Co is a mature firm with growing earnings and dividends per share. The firm's most recent earnings per share (EPS o )was$1.85, which is
Intel Co is a mature firm with growing earnings and dividends per share. The firm's most recent earnings per share (EPSo)was$1.85, which is expected to grow at a constant rate of 8% per year in the future.The firm has a dividend payout ratio of 60%. Assuming a required rate of return of 13% per year, what should be its current stock price? What should be its current PE ratio?
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Analysis for Financial Management
Authors: Robert C. Higgins
12th edition
1259918963, 9781260140729 , 978-1259918964
