Suppose cisco systems pays no dividends but spent 508


Suppose Cisco Systems pays no dividends but spent $5.08 billion on share repurchases last year. If Cisco’s equity cost of capital is 12.8%, and if the amount spent on repurchases is expected to grow by 8.9% per year, estimate Cisco’s market capitalization. If Cisco has 6.4 billion shares outstanding, to what stock price does this correspond?

Request for Solution File

Ask an Expert for Answer!!
Financial Management: Suppose cisco systems pays no dividends but spent 508
Reference No:- TGS01396994

Expected delivery within 24 Hours