Assume Highline Company has just paid an annual dividend of $ 0.94. Analysts are predicting an 10.9 % per year growth ra
Posted: Fri Jul 01, 2022 7:42 am
Assume Highline Company has just paid an annual dividend of $0.94.
Analysts are predicting an 10.9 % per year growth rate inearnings over the next five years. After then, Highline's earningsare expected to grow at the current industry average of 5.3 %per year. If Highline's equity cost of capital is 7.8 % peryear and its dividend payout ratio remains constant, for whatprice does the dividend-discount model predict Highline stockshouldsell ( what is the value of highlines stock) ?
Analysts are predicting an 10.9 % per year growth rate inearnings over the next five years. After then, Highline's earningsare expected to grow at the current industry average of 5.3 %per year. If Highline's equity cost of capital is 7.8 % peryear and its dividend payout ratio remains constant, for whatprice does the dividend-discount model predict Highline stockshouldsell ( what is the value of highlines stock) ?