Question: Solve dividends EPS and stock prices using the Information that follows. Bravo Company just paid a dividend of $1.20. A growth rate for dividends is

 Solve dividends EPS and stock prices using the Information that follows.

Solve dividends EPS and stock prices using the Information that follows. Bravo Company just paid a dividend of $1.20. A growth rate for dividends is expected to be 15% over the next five years. The benchmark PE for this industry is 22. Bravo Company has a payout ratio of 35%. The required return is 11% What are the projected dividends for each of the next five years? (Do not round Intermediate calculations and round your answers to 2 decimal places, e.g., 12.34.) Year 1 Year 2 Year 3 Year 4 Year 5 What is the EPS in five years? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 12.34.) EPS in 5 years What is the target stock price in five years? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g. 12.34.) Stock price in 5 years What is the stock price today? (Do not round Intermediate calculations and round your answer to 2 decimal places, e.g., 12.34.) Stock price today

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