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yaqub yaqub
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3 years ago
Yesterday, Wernam Hogg paid out $1.94B in dividends and repurchased $4.24B worth of shares. Wernam Hogg has 1.18B shares outstanding. Analysts expect total payouts to grow at an annual perpetual rate of 1% and investors require a 7.5% rate of return on Wernam Hogg shares. What is the Total Payout model estimate of the stock price today assuming that all payouts occur annually? (The next payout will occur in one year.)

▸ $60.81

▸ $69.83

▸ $77.73

▸ $80.57

▸ $81.38
Textbook 
Corporate Finance Online

Corporate Finance Online


Edition: 2nd
Authors:
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asdwdaasdwda
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3 years ago
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yaqub Author
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3 years ago
Thank you, thank you, thank you!
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Thanks for your help!!
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2 hours ago
You make an excellent tutor!
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