A stock is expected to maintain a constant dividend growth rate of 4.6 percent indefinitely. If the stock has a dividend yield of 5.9 percent, what is the required return on the stock?

Respuesta :

Answer:

10.5%

Explanation:

Dividend yield=5.9%

Growth rate=4.6%

Required return on the stock=Dividend yield+growth rate

                                                =5.9%+4.6%=10.5%

yep its 10.5 hes correct