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- A stock just paid a dividend of D0 = $1.50. The required rate of return is rs = 14.1%, and the constant growth rate is g = 4.0%. What is the current stock price? Select one: a. $12.82 b. $12.97 c. $15.45 d. $18.84 e. $19.15A stock just paid a dividend of D0 = $1.50. The required rate of return is ?s= 10.1%, and the constant growth rateis g = 4.0%. What is the current stock price?Blue is currently selling for $26 per share. Its next dividend (in one year) is forecasted to be $1. Immediately after the dividend is paid, you expect the price to be $33. a. What is its expected dividend yield? b. What is its expected capital gain rate? c. What is the equity investors' expected return? Question content area bottom Part 1 a. Dividend yield: enter your response here%. (Round to two decimal places.) b. Capital gain rate: enter your response here%. (Round to two decimal places.) c. Expected Return: enter your response here%. (Round to two decimal places.)
- D3) An analyst gathers the following data: · Expected rate of return on the market = 14% · Current Dividend = $2 · Growth rate in dividends = 6% per year · Risk Free Rate = 8% · Expected rate of return on stock X if you buy at current price = 16% · Stock X’s beta = 1.25 Using this data, is this stock underpriced or overpriced and by how much (in % return).Please check my work for accuracy A stock is expected to pay a dividend of $2.25 at the end of the year. Its beta is 1.4, the market risk premium is 5.50%, the risk-free rate is 4.00%, and the expected constant growth rate (g) is 8%. What is the stock's current price? 0.08 +1.4*0.055=0.157 2.25 / (0.157-0.05)=21.031. A stock is currently selling for $92.45 and is expected to sell for $109.07 in 1 year. If the company pays a dividend of $2.98 what is the stock's HPR? 2. A stock has a beta of 1.14. The risk-free rate is 1.809% and the market risk premium is 5%. What is the fair return on the stock?
- A stock is selling for $80 in the market. The company’s beta is 1.5, the market risk premium (rM - rF) is 6%, and the risk-free rate is 2%. The most recent dividend paid is D0 = $2 and dividends are expected to grow at a constant rate g. What’s the dividend growth rate g for this stock? find the stock’s dividend yield. 2.71% 4.19% 4.81% 3.56%A stock is selling for $80 in the market. The company’s beta is 1.5, the market risk premium (rM - rF) is 6%, and the risk-free rate is 2%. The most recent dividend paid is D0 = $2 and dividends are expected to grow at a constant rate g. What’s the dividend growth rate g for this stock? find the stock’s capital gain yield. 8.29% 4.19% 7.68% 7.81%A stock is expected to pay a dividend of $0.55 at the end of the year. The required rate of return is rs = 13.5%, and the expected constant growth rate is g = 7%. What is the stock's current price? (Round your answer to 2 decimal places.) Please work out do not use excel
- Use the following information to answer questions 1- 2 XQV’s stock is trading at $40. Earnings per share are expected at E1 = $5.00; all will be paid out as dividends. Valuing the stock as a perpetuity P0 =E1 / r, the expected return is 12.5%. The risk-free rate is 6%; the market risk premium is 8%. XQV’s beta is 0.875. The stock is ………………………………………………….. Group of answer choices a. overpriced b. fairly priced c. underpriced 2. Its alpha is ………..……………………… %.A stock is selling for $50 in the market. The required rate of return is 9%. The most recent dividend paid is D0 = $3.0 and dividends are expected to grow at a constant rate g. What’s the expected capital gain for this stock?Annual dividend is $2.97 per share of Stock. The real risk free rate of return is 3.25%. The expected real rate of return on the market is 7.00 percent. The company's beta, B is 1.2. a. Based on this information, what is the percentage of the risk premium on the stock market? b. According to CAPM, what is the appropriate real discount rate?