Question
The Facebook is expected to pay a dividend of D 1 = $1.25 per share at the end of the year, and that dividend is
The Facebook is expected to pay a dividend of D1 = $1.25 per share at the end of the year, and that dividend is expected to grow at a constant rate of 6.00% per year in the future. The company's beta is 1.70, the market risk premium is 5.50%, and the risk-free rate is 4.00%. What is the company's current stock price?
| a. | $13.44 | |
| b. | $12.93 | |
| c. | $17.01 | |
| d. | $14.80 | |
| e. | $18.03 |
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Handbook Of Short Selling
Authors: Greg N. Gregoriou
1st Edition
0123877245, 978-0123877246
