Question: Generation X's stock is currently selling for $15 a share. Their most recent dividend paid was $1.50/share and management just declared a dividend of $1.65. What is the annual growth rate?
If a company plans to pay an annual dividend of $1.50 per share next year. $1.15 per share a year for the following two years, and then a final liquidating dividend of $ 15 per share four years from now. How much is one share of this stock worth to you today if you require a rate of return of 17.7 percent of this risky investment?