Universal Forest’s current stock price is $63.00 and it is likely to pay a $0.67 dividend next year. Since analysts estimate Universal Forest will have a growth rate of 8.4 percent, what is its required return? (Round your answer to 2 decimal places.)
Universal Forest’s current stock price is $63.00 and it is likely to pay a $0.67 dividend next year. Since analysts estimate Universal Forest will have a growth rate of 8.4 percent, what is its required return? (Round your answer to 2 decimal places.)
Chapter7: Common Stock: Characteristics, Valuation, And Issuance
Section: Chapter Questions
Problem 17P
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Universal Forest’s current stock price is $63.00 and it is likely to pay a $0.67 dividend next year. Since analysts estimate Universal Forest will have a growth rate of 8.4 percent, what is its required return? (Round your answer to 2 decimal places.)
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