Preferred Stock Price and Return
A firm has preferred stock outstanding with a $1,000 par value and a $40 annual dividend with no maturity. If the required rate of return is 9%, what is the price of the preferred stock?
The market price of a firm's preferred stock is $24 and pays an annual dividend of $2.50. If the stock's par value is $1,000 and it has no maturity, what is the return on the preferred stock?
Constant-Growth Common Stock
What is the value of a common stock id the firm's earnings and dividends are growing annually at 10%. The current dividend is 1.32 and investors require a 15% return on investment?
What is the Stocks rate return if the market price of the stock is $35?