Question
The company Mora stenar AB has just paid a dividend of 0.6 SEK per share. The dividends are expected to be the same in perpetuity
The company Mora stenar AB has just paid a dividend of 0.6 SEK per share. The dividends are expected to be the same in perpetuity (so zero growth). The next dividend is payed in one year from now.
Assuming that the company has a return on equity of 15.9 percent, what is an appropriate market price for the stock today?
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International Financial Management
Authors: Geert Bekaert, Robert J. Hodrick
2nd edition
013299755X, 132162768, 9780132997553, 978-0132162760
