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Assume Gillette Corporation will pay an annual dividend of $0.64 one year from now Analysts expect this dividend to grow
Posted: Thu May 19, 2022 10:32 am
by answerhappygod
- Assume Gillette Corporation Will Pay An Annual Dividend Of 0 64 One Year From Now Analysts Expect This Dividend To Grow 1 (26.9 KiB) Viewed 64 times
Assume Gillette Corporation will pay an annual dividend of $0.64 one year from now Analysts expect this dividend to grow at 12.7% per year thereafter until the 4th year. Thereafter, growth will level off at 16% per year. According to the dividend-discount model, what is the value of a share of Gillette stock if the firm's equity cost of capital is 7.2%? The value of Gillette's stock is (Round to the nearest cent)