What is the maximum price that you would pay for share

Assignment Help Financial Management

Reference no: EM131995707

You want to purchase common stock of ValleyMax Corporation and hold it for 1 year. ValleyMax has announced dividends of $1.70 for the next year. Based on your analysis, you expect to sell the stock for $30 per share at the end of the year. What is the maximum price that you would pay for a share today if you wanted to earn a 12% return?

Reference no: EM131995707

Questions Cloud

Draw a few of her indifference curves : Draw a few of her indifference curves, and show her optimal choice. How many left shoes and how many right shoes does she buy?

Key characteristics of optimal consumer allocation : The following are key characteristics of the Optimal Consumer's Allocation, as presented in class, EXCEPT:

What one major organizational subsystem needs to be changed : Research an organization, with which you are familiar, that is in need of a change and present how you will manage the change process.

What are the competing training interests of employers : What are the competing training interests of employers and workers? How and to what degree do active labour market policies benefit workers

What is the maximum price that you would pay for share : What is the maximum price that you would pay for a share today if you wanted to earn a 12% return?

Market equilibrium in the education market : Are there any impacts from the pricing ceiling market equilibrium in the education market.

Recover drug development costs more quickly : Proposals to reduce patent length for drugs are sometimes made, but some critics argue that such a change would result in even higher prices.

What is the free cash flow to equity holders : The Sahali Corporation has EBIT of $2300000 million. What is the free cash flow to equity holders of Sahali Corp?

Explain the concept of clustering and k-means : ICT110 - Introduction to Data Science - University of sunshine coast - Describe how to load the data, and the libraries needed. Provide an overview of the data

User Account

All Pages