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Randy and dale are trying to price a share of Global's common stock. Global has just paid out a semi-annual dividend of $1.25. Currently, they
Randy and dale are trying to price a share of Global's common stock. Global has just paid out a semi-annual dividend of $1.25. Currently, they dont own a share , so they didn't get this dividend. They expect Global's dividend to increase by 2% every 6 months. Analysts expect globals common stock to be traded at 21.80 seven years away from today. Their discount rate is 20% APR.
What is the price of the stock?
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