Question
The Nanada Company just paid a dividend of $2 per share. Due to a new product, Nanada is expected to increase its dividends by 18%
The Nanada Company just paid a dividend of $2 per share. Due to a new product, Nanada is expected to increase its dividends by 18% over the next 5 years, followed by a growth rate of 16% in dividends the following 4 years, after which growth is expected to return to the long-term constant rate of 8%. Assuming a required rate of return of 17%.
What is the market value for one of its shares?
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Financial Reporting Financial Statement Analysis And Valuation
Authors: James M Wahlen, Stephen P Baginskl, Mark T Bradshaw
10th Edition
0357722094, 978-0357722091
