What is the value of share of ego today

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Reference no: EM131838736

Canadian-based mining company El Dorado Gold (EGO) suspended its dividend in March 2016 as a result of declining gold prices and delays in obtaining permits for its mines in Greece. Suppose you expect EGO to resume paying annual dividends in two years time, with a dividend of $0.45 per share, growing by 2.3% per year. If EGO's equity cost of capital is 9.5%, what is the value of a share of EGO today?

Reference no: EM131838736

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