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Dividend Yield

Dividend Yield Problems

1. Assume the stock is selling at $30.29. What would the stock price be if its dividends were expected to have zero growth? Now assume the company is expected growth of 30% for the next 3 years, then to return to its long-run constant growth rate of 6%. What is the stock's value under these conditions? 2. Is the stock pri

Having trouble with a question in Finance

Problem entails - finance question of dividend yields and how much to pay for a stock? Question 1 ABC Inc. has an expected yield of 18% . It anticipates paying the same dividend of $1.10 for four more years, after which the dividend will grow at 7% a year indefinitely. Based on the dividend valuation (Capitalization) mode