Tesla Inc. just decided to pay a dividend. It wants to catch up with its primary competitors and expects to increase those dividends at 15% annually for the first 2 years. In year three it will decrease the growth rate a more sustainable 3% annually. The dividend just paid was $5. An appropriate discount rate is 12%.

Tesla Inc. just decided to pay a dividend. It wants to catch up with its primary competitors and expects to increase those dividends at 15% annually for the first 2 years. In year three it will decrease the growth ro a more sustainable 3% annually. The dividend just paid was $5. An appropriate discount rate is 12%