Question
Your boss wants you to value Microsoft common stock. Microsoft's market capitalization rate is 13%.Using historical data from Yahoo Finance (Historical prices), what was the
Your boss wants you to value Microsoft common stock. Microsoft's market capitalization rate is 13%.Using historical data from Yahoo Finance ("Historical prices"), what was the quarterly growth rate of dividends during 2013 (start of Nov. 2012 to end of Nov. 2013)?
A stock just paid an annual dividend of $1.2. The dividend is expected to grow by 10% per year for the next 3 years. The growth rate of dividends will then fall steadily (linearly) from 10% after 3 years to 7% in year 6.The required rate of return is 12%. What is the intrinsic value of the stock if the dividend growth rate will stay 0.07 (7%) forever after 6 years?
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