Rusty's Rivets has an ROE of 10% and a plowback ratio of 25%. If Rusty's cost...
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Rusty's Rivets has an ROE of 10% and a plowback ratio of 25%. If Rusty's cost of capital is 11.6% and the company just paid a dividend of $2.25 per share, what should the current stock price be according to the constant-growth dividend discount model? Rusty's Rivets has an ROE of 10% and a plowback ratio of 25%. If Rusty's cost of capital is 11.6% and the company just paid a dividend of $2.25 per share, what should the current stock price be according to the constant-growth dividend discount model?
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Related Book For
Financial Reporting Financial Statement Analysis and Valuation a strategic perspective
ISBN: 978-1337614689
9th edition
Authors: James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
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