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The Bouchard Company's EPS was $6.50 in 2015, up from $4.42 in 2010. The company pays out 40% of its earnings as dividends, and its
The Bouchard Company's EPS was $6.50 in 2015, up from $4.42 in 2010. The company pays out 40% of its earnings as dividends, and its common stock sells for $36.00. a). Calculate the past growth rate in earnings. b). The last dividends was D0=0.4($6.50)= $2.60 Calculate the next expected dividend, D1, assuming that the past growth rate continues. c). What is Bouchard's cost of reatined growth
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