A stock's next expected dividend divided by the current stock price is the:current yieldO total yielddividend yieldO capital gains yieldearnings yield身

A stock's price is decided by the dividend it pays, the dividend growth rate and the required rate…

Answered: A stock's next expected dividend…

Corporate Fin Focused Approach

5th Edition

ISBN:9781285660516

Author:EHRHARDT

Publisher:EHRHARDT

Chapter7: Valuation Of Stocks And Corporations

Section7.4: Valuing Common Stocks

Problem 3ST

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A stock has a dividend yield of 2.85% and a capital gains yield of 6.93%. What is the stock's required return?
what are the two type parts of most stocks expected total return? if D1=$2.00, g= 6% and po $40.00, what are the stocks expected dividend yield, capital gains yield, and total expected return for the coming year?
The required rate of return on a stock consists of two components, dividend growth rate on the stock measures which of the one component Capital gains yield Dividend yield Market growth rate Discount rate
n the formula ke >= (D1/P0) + g, what does (D1/P0) represent? Select one: a. The expected capital gains yield from a common stock b. The interest payment from a bond c. The expected dividend yield from a common stock d. The dividend yield from a preferred stock
The price of a stock is: Group of answer choices the future value of all expected future dividends, discounted at the investor’s required return. the present value of all expected future dividends, discounted at the investor’s required return. the present value of all expected future dividends, discounted at the dividend growth rate. the future value of all expected future dividends, discounted at the dividend growth rate.
Each stock's rate of return in a given year consists of a dividend yield (which might be zero) plus a capital gains yield (which could be positive, negative, or zero). Such returns are calculated for all the stocks in the S&P 500. A weighted average of those returns, using each stock's total market value, is then calculated, and that average return is often used as an indicator of the "return on the market."
A stock has had the following year-end prices and dividends: Year Price Dividend 1 $ 64.78 — 2 71.65 $ .69 3 77.45 .74 4 63.72 .80 5 74.01 .89 6 84.25 .96 What are the arithmetic and geometric returns for the stock?
One stock valuation model holds that the value of a share of stock is a function of its futuredividends, and that the dividends will increase at an annual rate which will remain unchangedover time. This stock valuation model is known as the * A.approximate yield model. B.holding period return model. C.constant growth dividend valuation model. D.dividend reinvestment model.
A stock had the following year-end prices and dividends. What is the geometric average annual return on this stock Time Price Dividend 0 $23.19 ? 1 $24.90 $0.23 2 $23.18 $0.24 3 $24.86 $0.25
What is the expected return of Stock A given the information below about its returns across future states of nature? Enter return in decimal form, rounded to 4th digit, as in "0.1234
Which of the statements is NOT TRUE about the yield of a stock?a) It is comprised of dividend yield + capital gains yieldb) Dividend yield is equal to dividend per share divided by the purchase price of the stockc) Capital gains yield is the increase in the price of the stockd) Capital gains yield is the increase in price with respect to the purchase price divided by the purchase price
What is the dividend yield for each of these four stocks? What is the expected capital gains yield for each of these four stocks

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A stock's next expected dividend divided by the current stock price is the: O current yield O total yield O dividend yield O capital gains yield O earnings yield