The CatsNDogsRUs Company expects a constant growth in earnings and dividends of 4%/year into the foreseeable future.
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The CatsNDogsRUs Company expects a constant growth in earnings and dividends of 4%/year into the foreseeable future. It is expected that the next dividend paid to stockholders will be $1.26/share. Currently the market of investors is demanding or requiring 7% on this investment.
What is the current value of the stock?
What is the capital gains yield on this stock?
Related Book For
Financial Reporting and Analysis
ISBN: 978-0078025679
6th edition
Authors: Flawrence Revsine, Daniel Collins, Bruce, Mittelstaedt, Leon
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