Using Yahoo! Finance (http://finance.yahoo.com/) and ticker symbol PEP, find PepsiCo’s historical dividend payment and current price. Historical dividends are available in the historical price section. Use these payments to find the annual dividend growth rate. (If you have a quarterly pattern be sure to annualize this quarterly growth rate.) Now, find the required rate of return for this stock, assuming that the future dividend growth rate will remain the same and the company has an infinite horizon. Does this return seem reasonable for PepsiCo?
Answer to relevant QuestionsUsing Yahoo! Finance (http://finance.yahoo.com/) and ticker symbol HPQ, find Hewlett-Packard’s recent dividend payments and current price. Historical dividends are available in the historical price section. Use these ...Using the answer to Problem 17 on the Coca-Cola growth rates and the current trading price, determine the current required rate of return for the company.The Crescent Corporation just paid a dividend of $2.00 per share and is expected to continue paying the same amount each year for the next 4 years. If you have a required rate of return of 13%, plan to hold the stock for 4 ...What are the returns on the followinginvestments?Find the thirteen-week Treasury bill rates for the years 2000 to present. Go to Treasury Direct (www.treasurydirect.gov) and in the “Institutions” section, click “Find Historical Auction Data.” Select the ...
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