The Bobco Company has a dividend payout ratio of 45%. Next year it will earn $2.15...
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The Bobco Company has a dividend payout ratio of 45%. Next year it will earn $2.15 per share and have a return on equity of 17%. The shareholders required return is 13% a) Calculate the company's growth rate of EPS. b) What is the value of the stock? (Using constant growth discount model). The Bobco Company has a dividend payout ratio of 45%. Next year it will earn $2.15 per share and have a return on equity of 17%. The shareholders required return is 13% a) Calculate the company's growth rate of EPS. b) What is the value of the stock? (Using constant growth discount model).
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