Currently, Oasis Inc. pays no dividends. However, analysts forecast that in 5 years Oasis Inc. will pay its first annual dividend of $2 and dividends will grow at 4.4% per year thereafter. If stocks with similar risk to the equity of Oasis Inc, currently earn 9.3%, estimate the current share price of Oasis Inc. Enter your answer below rounded to 2 DECIMAL PLACES. Number

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Ee 261.

Currently, Oasis Inc. pays no dividends. However, analysts forecast that in 5 years Oasis Inc. will pay its first annual dividend of
$2 and dividends will grow at 4.4% per year thereafter. If stocks with similar risk to the equity of Oasis Inc. currently earn 9.3%,
estimate the current share price of Oasis Inc.
Enter your answer below rounded to 2 DECIMAL PLACES.
Number
Transcribed Image Text:Currently, Oasis Inc. pays no dividends. However, analysts forecast that in 5 years Oasis Inc. will pay its first annual dividend of $2 and dividends will grow at 4.4% per year thereafter. If stocks with similar risk to the equity of Oasis Inc. currently earn 9.3%, estimate the current share price of Oasis Inc. Enter your answer below rounded to 2 DECIMAL PLACES. Number
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