Aster Energy Corp. will pay an annual dividend of $1.80 per share next year and currently sells for $45 per share based on a market rate of return of 9.75 percent. What is the capital gains yield?

Financial Management: Theory & Practice
16th Edition
ISBN:9781337909730
Author:Brigham
Publisher:Brigham
Chapter7: Corporate Valuation And Stock Valuation
Section: Chapter Questions
Problem 1P: Ogier Incorporated currently has $800 million in sales, which are projected to grow by 10% in Year 1...
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Aster Energy Corp. will pay an annual dividend of $1.80 per share next year and currently sells for $45 per share based on a market rate of return of 9.75 percent. What is the capital gains yield?

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