Sidman Products's common stock currently sells for $64 a share. The firm is expected to earn $7.04 per share this year and to pay a year-end dividend of $3.80, and it finances only with common equity. a. If investors require an 11% return, what is the expected growth rate? Do not round intermediate calculations. Round your answer to two decimal places. % b. If Sidman reinvests retained earnings in projects whose average return is equal to the stock's expected rate of return, what will be next year's EPS? (Hint: g = (1- Payout ratio)ROE). Do not round intermediate calculations. Round your answer to the nearest cent. per share
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- Sidman Products's common stock currently sells for $52 a share. The firm is expected to earn $4.68 per share this year and to pay a year-end dividend of $3.10, and it finances only with common equity. a. If investors require a 9% return, what is the expected growth rate? Do not round intermediate calculations. Round your answer to two decimal places. % b. If Sidman reinvests retained earnings in projects whose average return is equal to the stock's expected rate of return, what will be next year's EPS? (Hint: g = (1 - Payout ratio) ROE). Do not round intermediate calculations. Round your answer to the nearest cent. per shareSidman Products's common stock currently sells for $42 a share. The firm is expected to earn $3.36 per share this year and to pay a year-end dividend of $2.40, and it finances only with common equity. a. If investors require an 8% return, what is the expected growth rate? Do not round intermediate calculations. Round your answer to two decimal places. % b. If Sidman reinvests retained earnings in projects whose average return is equal to the stock's expected rate of return, what will be next year's EPS? (Hint: g = (1-Payout ratio)ROE). Do not round intermediate calculations. Round your answer to the nearest cent. per shareSidman Products's common stock currently sells for $67 a share. The firm is expected to earn $7.37 per share this year and to pay a year-end dividend of $2.60, and it finances only with common equity. a. If investors require an 11% return, what is the expected growth rate? Do not round intermediate calculations. Round your answer to two decimal places. % b. If Sidman reinvests retained earnings in projects whose average return is equal to the stock's expected rate of return, what will be next year's EPS? (Hint: g - (1 - Payout ratio)ROE). Do not round intermediate calculations. Round your answer to the near ent. per share
- Sidman Products's common stock currently sells for $49 a share. The firm is expected to earn $4.41 per share this year and to pay a year-end dividend of $2.80, and it finances only with common equity. If investors require a 9% return, what is the expected growth rate? Round your answer to two decimal places. Do not round your intermediate calculations. % If Sidman reinvests retained earnings in projects whose average return is equal to the stock's expected rate of return, what will be next year's EPS? (Hint: g = (1 – Payout ratio)ROE). Round your answer to the nearest cent. Do not round your intermediate calculations.$ per shareSidman Products’s common stock currently sells for $60.00 ashare. The firm is expected to earn $5.40 per share this year and to pay a year-end dividendof $3.60, and it finances only with common equity.a. If investors require a 9% return, what is the expected growth rate?b. If Sidman reinvests retained earnings in projects whose average return is equal tothe stock’s expected rate of return, what will be next year’s EPS?Sidman Products's common stock currently sells for $42 a share. The firm is expected to earn $4.20 per share this year and to pay a year-end dividend of $2.30, and it finances only with common equity If investors require a 10% return, what is the expected growth rate? Do not round intermediate calculations. Round your answer to two decimal places. %
- Lauren Corporation will pay a dividend of $2.90 next year. The company has stated that it will maintain a constant growth rate of 5.25 percent a year forever. a. If you want a return of 18 percent, How much will you pay for the stock? Note: Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16. b. If you want a return of 9 percent, How much will you pay for the stock? Note: Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16. a. Stock price b. Stock priceCape Corp. will pay a dividend of $2.70 next year. The company has stated that it will maintain a constant growth rate of 4.75 percent a year forever. a. If you want a return of 16 percent, how much will you pay for the stock? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. If you want a return of 11 percent, how much will you pay for the stock? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)Cape Corp. will pay a dividend of $4.00 next year. The company has stated that it will maintain a constant growth rate of 5 percent a year forever. a. If you want a return of 17 percent, how much will you pay for the stock? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. If you want a return of 11 percent, how much will you pay for the stock? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) a. Stock price b. Stock price
- Arts and Crafts, Incorporated will pay a dividend of $6 per share in 1 year. It sells at $50 a share, and firms in the same industry provide an expected rate of return of 15%. What must be the expected growth rate of the company's dividends? Note: Do not round intermediate calculations. Enter your answer as a whole percent. Expected growth rate %Cape Corp. will pay a dividend of $2.80 next year. The company has stated that it will maintain a constant growth rate of 5 percent a year forever. a. If you want a return of 17 percent, how much will you pay for the stock? (Do not round Intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)The next dividend payment by Savitz, Inc., will be $1.64 per share. The dividends are anticipated to maintain a growth rate of 8 percent forever. The stock currently sells for $31 per share. a. What is the dividend yield? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. What is the expected capital gains yield? (Enter your answer as a percent.) Dividend yield % а. b. Capital gains yield %