Question
The dividend for Should I, Inc., is currently $1.10 per share. It is expected to grow at 20 percent next year and then decline linearly
The dividend for Should I, Inc., is currently $1.10 per share. It is expected to grow at 20 percent next year and then decline linearly to a 5 percent perpetual rate beginning in four years. If you require a 16 percent return on the stock, what is the most you would pay per share?
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The Bank Credit Analysis Handbook
Authors: Jonathan Golin, Philippe Delhaise
2nd Edition
0470821574, 978-0470821572
