Intercoastal Corporation recently paid a common stock dividend of $2.50. Analysts predict that the firm and its
Fantastic news! We've Found the answer you've been seeking!
Question:
Intercoastal Corporation recently paid a common stock dividend of $2.50. Analysts predict that the firm and its dividends will grow at a rate of 12% per year. Intercoastal has a beta of 1.35. The current risk-free rate of interest is 5.0% and the current return on the market is 13%. What is the intrinsic value of Intercoastal common stock?
Related Book For
Financial management theory and practice
ISBN: 978-1439078099
13th edition
Authors: Eugene F. Brigham and Michael C. Ehrhardt
Posted Date: