Sentences with phrase «= dividend per share»

The formula is Earnings Payout Ratio = Dividends per Share / Earnings per Share.

Not exact matches

Where: D = Expected dividend per share one year from now k = Required rate of return for equity investor G = Growth rate in dividends (in perpetuity)

If these companies continue these policies at the same rates and continue to earn 10 % of their value during Year 2, investors holding shares of ABC will see even greater dividend payouts, earning $ 10.50 per share ($ 1.05 B x 10 % = $ 105M, $ 105M / 2 = $ 52.5 M, $ 52.5 M / 5M = $ 10.50) at the end of Year 2 for a dividend yield of 10.5 %.

Value of a stock = Next Year's Expected Annual Dividend Per Share / (Rate of Return — Expected Dividend Growth Rate)