Question
Omanis company common stock is expected to pay of OMR ( 3 ) a share at the end of 2020 , and expected to grow
Omanis company common stock is expected to pay of OMR ( 3 ) a share at the end of 2020 , and expected to grow at some constant rate . The market risk premium of this stock is 7 % , and the stock currently sells in the market for OMR 10 a share . Assume the risk - free rate of return is 5 % and the market is in equilibrium . Estimate the stock's price at the end of 3 years ?
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Financial Modeling
Authors: Simon Benninga, Tal Mofkadi
5th Edition
0262046423, 9780253337825
