Question: I need help with this question in 10 min please Joyous Company just paid a dividend of $3.00 a share. The stock's dividend is expected

I need help with this question in 10 min please
I need help with this question in 10 min please Joyous Company

Joyous Company just paid a dividend of $3.00 a share. The stock's dividend is expected to grow at a constant rate of 5 percent a year. The risk-free rate is 5 percent and the market risk premium is 6 percent. The stock has a beta of 1.0. What is the stock's expected price five years from now? $63.00 $52.50 $76.58 $67.00

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!