Crisp cookwares common stock is expected to pay a dividend


Crisp Cookware's common stock is expected to pay a dividend of $1.75 a share at the end of this year (D1 = $1.75); its beta is 0.75; the risk-free rate is 4.4%; and the market risk premium is 5%. The dividend is expected to grow at some constant rate g, and the stock currently sells for $33 a share. Assuming the market is in equilibrium, what does the market believe will be the stock's price at the end of 3 years (i.e., what is  )? Do not round intermediate steps. Round your answer to the nearest cent.

Request for Solution File

Ask an Expert for Answer!!
Financial Management: Crisp cookwares common stock is expected to pay a dividend
Reference No:- TGS01400705

Expected delivery within 24 Hours