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The dividend for Should I, Incorporated, is currently $1.80 per share. It is expected to grow at 12 percent next year and then decline linearly
The dividend for Should I, Incorporated, is currently $1.80 per share. It is expected to grow at 12 percent next year and then decline linearly to a 3 percent perpetual rate beginning in four years. If you require a 18 percent return on the stock, what is the most you would pay per share? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. Sea Side, Incorporated, just paid a dividend of $2.44 per share on its stock. The growth rate in dividends is expected to be a constant 3.40 percent per year indefinitely. Investors require a return of 25.00 percent on the stock for the first three years, then a return of 20 percent for the next three years, and then a return of 18 percent thereafter. What is the current share price? Note: Do not round intermediate calculations. Round your answer to 2 decimal places
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