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You have assigned the following values to these three firms: Company Price Upcoming dividend Growth Beta Xcel Energy $ 45.40 $ 0.40 12.70% 0.95 Whirlpool
You have assigned the following values to these three firms:
Company | Price | Upcoming dividend | Growth | Beta |
Xcel Energy | $ 45.40 | $ 0.40 | 12.70% | 0.95 |
Whirlpool | $ 35.70 | $ 0.80 | 7.80% | 1.03 |
Kinder Morgan | $ 8.20 | $ 0.30 | 11.05% | 1.80 |
Assume that the market portfolio will earn 10.00 percent and the risk-free rate is 4.00 percent. Compute the required return for each company using both CAPM and the constant-growth model. (Do not round intermediate calculations and round your final answers to 2 decimal places and do not include a % symbol.)
Type your answers in the table below
Company | CAPM | Constant-growth model |
Xcel Energy | ||
Whirlpool | ||
Kinder Morgan |
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