What is the current value of the stock

Reference no: EM131948789

Question: The Brigaphenski Co. has just paid a cash dividend of $2 per share. Investors expected return is 9.99 percent. If the dividends for the next 3 years are $ 2.15 , $ 2.34 , and $ 2.88 , respectively, and the stock is expected to be sold for $ 41.18 in 3 years. What is the current value of the stock?

Reference no: EM131948789

Questions Cloud

Briefly explain the tradeoff theory : Briefly explain the tradeoff theory. Suppose the government changes the tax laws and interest is no longer tax deductible for corporations.

What will be the increase in earnings per share : Calculate the expected return of your firm for new investors. What will be the increase in earnings per share?

What approximate coupon rate should the company set : Bruin Co. wants to issue a new 10-year bonds to support its expansion plans. The company currently has 7.2 percent coupon bonds on the market that sell.

What is the maximum inventory level : The Brown Sugar Corporation sells baking supplies to Foodies over the Internet. The company's largest selling product is Louisiana Hot Brown Sugar.

What is the current value of the stock : The Brigaphenski Co. has just paid a cash dividend of $2 per share. Investors expected return is 9.99 percent. If the dividends for the next 3 years.

Airbnb came up with their concept by challenging assumptions : The founders of Airbnb came up with their concept by challenging assumptions. What major assumption did they challenge?

Dynamic arrays are preferable to static arrays : Discuss situations in which dynamic arrays are preferable to static arrays.

Explain strength and limitation of mixed methods research : Explain one strength and one limitation of mixed methods research. Provide a rationale for or against the utility of mixed methods research in your discipline.

What is the expected dollar dividend : A broker offers to sell you shares of Bay Area Healthcare, which just paid a dividend of $2 per share. The dividend is expected to grow at a constant rate.

User Account

All Pages