Maynard Steel plans to pay a dividend of $2.92 this year. The company has an expected earnings growth rate of 3.6% per year and an equity cost of capital of 10.9%. a. Assuming that Maynard's dividend payout rate and expected growth rate remain constant, and that the firm does not issue or repurchase shares, estimate Maynard's share price. b. Suppose Maynard decides to pay a dividend of $1.08 this year and use the remaining $1.84 per share to repurchase shares. If Maynard's total payout rate remains constant, estimate Maynard's share price. a. Assuming that Maynard's dividend payout rate and expected growth rate remain constant, and that the firm does not issue or repurchase shares, estimate Maynard's share price. Maynard's share price will be $ (Round to the nearest cent.) AFW Industries has 197 million shares outstanding and expects earnings at the end of this year of $684 million. AFW plans to pay out 65% of its earnings in total, paying 36% as a dividend and using 29% to repurchase shares. If AFW's earnings are expected to grow by 8.9% per year and these payout rates remain constant, determine AFW's share price assuming an equity cost of capital of 12.7%. The price per share will be $ (Round to the nearest cent.) Zoom Enterprises expects that one year from now it will pay a total dividend of $4.6 million and repurchase $4.6 million worth of shares. It plans to spend $9.2 million on dividends and repurchases every year after that forever, although it may not always be an even split between dividends and repurchases. If Zoom's equity cost of capital is 12.9% and it has 4.9 million shares outstanding, what is its share price today? The price per share is $ (Round to the nearest cent.) Cooperton Mining just announced it will cut its dividend from $4.12 to $2.51 per share and use the extra funds to expand. Prior to the announcement, Cooperton's dividends were expected to grow at a 3.1% rate, and its share price was $50.44. With the planned expansion, Cooperton's dividends are expected to grow at a 4.5% rate. What share price would you expect after the announcement? (Assume that the new expansion does not change Cooperton's risk.) Is the expansion a good investment? The new price for Cooperton's stock will be $ (Round to the nearest cent.) Laurel Enterprises expects earnings next year of $3.94 per share and has a 35% retention rate, which it plans to keep constant. Its equity cost of capital is 10.3%, which is also its expected return on new investment. Its earnings are expected to grow forever. If its next dividend is due in one year, what do you estimate the firm's current stock price to be? The current stock price will be $ (Round to the nearest cent.) NoGrowth Corporation currently pays a dividend of $0.48 per quarter, and it will continue to pay this dividend forever. What is the price per share of NoGrowth stock if the firm's equity cost of capital is 19.66% ? The stock price is $ (Round to the nearest cent.) Krell Industries has a share price of $22.61 today. If Krell is expected to pay a dividend of $0.83 this year and its stock price is expected to grow to $23.87 at the end of the year, what is Krell's dividend yield and equity cost of capital? The dividend yield is %. (Round to two decimal places.) Anle Corporation has a current stock price of $16.85 and is expected to pay a dividend of $0.85 in one year. Its expected stock price right after paying that dividend is $18.77. a. What is Anle's equity cost of capital? b. How much of Anle's equity cost of capital is expected to be satisfied by dividend yield and how much by capital gain? a. What is Anle's equity cost of capital? Anle's equity cost of capital is \%. (Round to two decimal places.)