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Suppose in 2015 you estimated AAPL's 2016 dividend per share will be 10.60 AAPL's 2017 dividend per share will be 13.46 AAPL's 2018 dividend per

Suppose in 2015 you estimated

AAPL's 2016 dividend per share will be 10.60

AAPL's 2017 dividend per share will be 13.46

AAPL's 2018 dividend per share will be 15.70

AAPL's 2019 dividend per share will be 19.14

AAPL's required return is constant at12.1%

After 2019, AAPL's (dividend) growth rate will be 9.6%

  1. Using the two-stage DDM, what is the fundamental value in 2015?
  2. Assuming that ROE=10%. Calculate the EPS in 2025

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To find the fundamental value of Apple Inc AAPL in 2015 using the twostage Dividend Discount Model DDM follow these steps Step 1 Calculate the Present ... blur-text-image
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