Dividends are anticipated to maintain a growth rate

Assignment Help Financial Management

Reference no: EM131047392

The next dividend payment by Halestorm, Inc., will be $1.84 per share. The dividends are anticipated to maintain a growth rate of 5 percent forever. The stock currently sells for $36 per share. What is the dividend yield? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) What is the expected capital gains yield?

Reference no: EM131047392

Questions Cloud

Required return-what is the current share price : Estes Park Corp. pays a constant $9.50 dividend on its stock. The company will maintain this dividend for the next 11 years and will then cease paying dividends forever. If the required return on this stock is 11 percent, what is the current share pr..

Purchase investment that will generate annual cash flows : You have the opportunity to purchase an investment that will generate annual cash flows of $12,250 per year for the next 19 years. If your required rate of return on this investment is 7.26%, how much is the investment worth?

Divided between capital gains yield and dividend yield : Suppose you know that a company’s stock currently sells for $55 per share and the required return on the stock is 8 percent. You also know that the total return on the stock is evenly divided between a capital gains yield and a dividend yield. If it’..

Funds would probably have the lowest risk and return : Which of the following funds would probably have the lowest risk and return?

Dividends are anticipated to maintain a growth rate : The next dividend payment by Halestorm, Inc., will be $1.84 per share. The dividends are anticipated to maintain a growth rate of 5 percent forever. The stock currently sells for $36 per share. What is the dividend yield?

True statement about mutual funds : Which of the following is not a true statement about mutual funds?

Based on preliminary project estimates : Aria Acoustics, Inc. (AAI), projects unit sales for a new seven-octave voice emulation implant as follows: Production of the implants will require $1,800,000 in net working capital to start and additional net working capital investments each year equ..

Themselves from becoming victim to fraudulent activity : Reflect on and summarize why trust is a factor in order for fraud to be committed. How has this been proven based on what you have learned related to Ponzi Schemes? How can organizations and individuals protect themselves from becoming victim to frau..

User Account

All Pages