Question
Your boss asks you to analyze a company and determine its sustainable growth rate (g) in perpetuity. Based on you analysis you determine the company
Your boss asks you to analyze a company and determine its sustainable growth rate (g) in perpetuity. Based on you analysis you determine the company can has a long-term sustainable return on equity (ROE) of 10% and its sustainable payout ratio (% of net income paid out as dividends) is 70%. What is its sustainable growth rate?
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Securitisation Derivatives A Practioner's Handbook
Authors: Mark Aarons, Vlad Ender, Andrew Wilkinson
1st Edition
1119532272, 978-1119532279
