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Business, 16.04.2020 18:29 eriksprincess13

Cooperton Mining just announced it will cut its dividend from $ 4.22 to $ 2.27 per share and use the extra funds to expand. Prior to the announcement, Cooperton's dividends were expected to grow at a 3.3 % rate, and its share price was $ 50.25. With the planned expansion, Cooperton's dividends are expected to grow at a 4.5 % rate. What share price would you expect after the announcement? (Assume that the new expansion does not change Cooperton's risk.) Is the expansion a good investment?

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Cooperton Mining just announced it will cut its dividend from $ 4.22 to $ 2.27 per share and use the...
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