CX Enterprises has the following expected dividends: $1.03 in one year, $1.17 in two years, and $1.32 in three years. After that, its dividends are expected to grow at 4.2% per year forever (so that year 4's dividend will be 4.2% more than $1.32 and so on). If CX's equity cost of capital is 12%, what is the current price of its stock? The price of the stock will be $ (Round to the nearest cent.)
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- CX Enterprises has the following expected dividends: $1.15 in one year, $1.23 in two years, and $1.29 in three years. After that, its dividends are expected to grow at 3.9% per year forever (so that year 4's dividend will be 3.9% more than $1.29 and so on). If CX's equity cost of capital is 11.7%, what is the current price of its stock? (Round to the nearest cent.)CX Enterprises has the following expected dividends: $1.03 in one year, $1.18 in two years, and $1.25 in three years. After that, its dividends are expected to grow at 4.4% per year forever (so that year 4's dividend will be 4.4% more than $1.25 and so on). If CX's equity cost of capital is 11.6%, what is the current price of its stock? The price of the stock will be $. (Round to the nearest cent.) CCX Enterprises has the following expected dividends: $1.11 in one year, $1.19 in two years, and $1.28 in three years. After that, its dividends are expected to grow at 3.9% per year forever (so that year four's dividend will be 3.9% more than $1.28 and so on). If CX's equity cost of capital is 12.3%, what is the current price of its stock? The price of the stock will be $. (Round to the nearest cent.)
- Summit Systems will pay a dividend of $1.50 this year. If you expect Summit’s dividend to grow by 6% per year, what is its price per share if its equity cost of capital is 11%?CX Enterprises has the following expected dividends: $1.00 in one year, $1.15 in two years, and $1.25 in three years. After that, its dividends are expected to grow at 4% per year forever (so that year 4's dividend will be 4% more than 1.25 and so on). If CX's equity cost of capital is 12%, what is the current price of its stock? The price of the stock will be $__________________ (Round to the nearest cent.)Gremlin Industries will pay a dividend of $1.65 per share this year. It is expected that this dividend will grow by 5% per year each year in the future. The current price of Gremlin's stock is $22.20 per share. What is Gremlin's equity cost of capital?
- CX Enterprises has the following expected dividends: $1.12 in one year, $1.24 in two years, and $1.35 in three years. After that, its dividends are expected to grow at 4% per year forever (so that year 4's dividend will be 4% more than $1.35 and so on). If CX's equity cost of capital is 12.2%, what is the current price of its stock?Summit Systems will pay a dividend of $1.49 one year from now. If you expect Summit's dividend to grow by 6.9% per year, what is its price per share if its equity cost of capital is 11.8% ?Prima Corporation's dividend per share next year is expected to be $3.02 and the firm expects dividends to grow at a rate of 5% per year for the foreseeable future. If you can earn 13% on similar-risk investments, what is the most you would be willing to pay per share? If you can earn only 10% on similar-risk investments, what is the most you would be willing to pay per share? Compare and contrast your findings, and explain the impact of changing risk on share value.
- Anle Corporation has a current price of $20, is expected to pay a dividend of $1 in one year, and its expected price right after paying that dividend is $22. What is Anle’s expected dividend yield? What is Anle’s expected capital gain rate? What is Anle’s equity cost of capital?Summit Systems will pay an annual dividend of $1.59 this year. If you expect Summit's dividend to grow by 6.5% per year, what is its price per share if the firm's equity cost of capital is 10.8%? The price per share is $. (Round to the nearest cent.)Enterprises has the following expected dividends: $1.13 in one year $1.19 in two years, and $1.34 in three years. After that, dividends are expected to grow at 3.8% per year forever (so that year 4's dividend will be 3.8% more than $1.34 and so on). If CX's equity cost of capital is 12%, what is the current price of its stock?