Wal. Inc. just paid investors $5 per share dividend. The beta of this stock is 1.4. The

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Wal. Inc. just paid investors $5 per share dividend. The beta of this stock is 1.4. The current S&P500 return is 9%, and the T-bill rate is 4%. The ROE of this stock is 18%, and payout ratio is 50%.

Find the intrinsic value of this stock?

Related Book For answer-question

Income Tax Fundamentals 2013

ISBN: 9781285586618

31st Edition

Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill

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Posted Date: Jun 12, 2023 05:01 AM

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Wal. Inc. just paid investors $5 per share dividend. The beta of this stock is 1.4. The

Question:

Expert Answer:

To calculate the intrinsic value of Wal Inc stock we can use the dividend discount model DDM which v... View the full answer

Income Tax Fundamentals 2013

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