Shares in Fluke Plc currently sell for Rs 4200 and will be worth Rs 4,975 in 7.5 years. Calculate the rate of return.
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Shares in Fluke Plc currently sell for Rs 4200 and will be worth Rs 4,975 in 7.5 years.
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- The next dividend payment by Savitz, Incorporated, will be $4.65 per share. The dividends are anticipated to maintain a growth rate of 5 percent forever. If the stock currently sells for $42 per share, what is the required return?Gordon Growth Company is expected to pay a dividend of $4 next period and dividends are expected to grow at 6% per year. The required return is 16%. What is the price expected to be in year 4? a. $40 b. $10 c. $41.6 d. $50.50You just purchased a share of SPCC for $101.You expect to receive a dividend of $6 in one year. If you expect the price after the dividend is paid to be $115, what total return will you have earned over the year? What was your dividend yield? Your capital gain rate? _____________________%.(Round to two decimal places.)
- Suppose dividends on a stock are expected to be €1 per share for the next 3 years, and the required return is 10% . If the price of a stock is €100 in 3 years 'time when you plan to sell it, what price does this stock need to currently fetch on the market to make it worth buying? If the stock price is expected to increase by €1 three years from now, does the current stock price also increase by €1 ? Why or why not?(b) Gagah Berhad's share is expected to pay a year-end dividend of RM2 per share. The dividend is expected to grow at a constant rate of 5% and the share has a required rate of return of 9%. What is the expected price of the share five years from now? (c) Calculate the price-to-book value when the market price per share is RM8.80 and the book value per share is RM5.50.A share is expected to pay an annual dividend of $2.53 next year, and this dividend is then expected to grow at a constant rate of 3.8% p.a. in perpetuity. If the required rate of return is 10.6% p.a., what is the value of the share?
- The year-end dividend of a company will be $2.40 and this is expected to grow at 4% forever. The required rate of return for the stock is 12%. Calculate the price of the stock. If earnings per share re $3.10 what is the present value of growth opportunities for the company.The next dividend payment by Modern Building Ltd will be $1.50 per share. The dividends are anticipated to maintain a growth rate of 5.5% forever. If one Modern Building share currently sells for $35.15, what is the required return?An irredeemable preference stock will pay a dividend of Shs.6 next year. The dividend is expected to grow at 8% p.a. for the next 2 years, then indefinitely at 4% per year. If the discount rate is 12%, what is the present value of this stream?
- Trail Co. is expected to pay a cash dividend of $2.60 next year. This dividend isexpected to grow at 5% to infinity. If you require a return of at least 9%, what is themost you should be willing to pay for this share? Please use finance calculator and show the workingsAn investor is evaluating the maximum amount they are willing to pay for a share of ABC Corporation stock. Using the Capital Asset Pricing Model they determined that their required rate of return is 9%. They estimate that the earnings per share for the next 25 years is $7.00, but only $5.00 after adjusting for inflation . Based on this information what is the maximum amount the investor should pay for one share?The dividend is expected to be RM1 per share and increase by 5% each year. Calculate the stock's current value if the required rate return is 10%