Question
The next dividend payment by DEF, Inc., will be $2.85 per share. The dividends are anticipated to maintain a growth rate of 4.18 percent forever.
The next dividend payment by DEF, Inc., will be $2.85 per share. The dividends are anticipated to maintain a growth rate of 4.18 percent forever. If the stock currently sells for $40.7 per share, what is the required return (in percent)? Answer to at least three decimals.
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Analysis For Financial Management
Authors: Robert C. Higgins
10th International Edition
007108648X, 9780071086486
