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Last year Trumpco paid a 2.30 per share dividend. The beta is 2.1, the market is expected to earn 10%, and the risk free rate
Last year Trumpco paid a 2.30 per share dividend. The beta is 2.1, the market is expected to earn 10%, and the risk free rate is 3%. If dividends remain at 2.30 per year forever, what is a fair price? (12.99) if Trumpcos dividends grow at 6% per year forever? (20.84), Find the dividend yield and capital gains yield for the stock in number 4. (.117 and .06) if Trumpcos dividends grow at 4% for one year, than at 8% forever after that? (24.66)
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