Suppose Compco Systems pays no dividends but spent $5.04 billion on share repurchases last year....
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Finance
Suppose Compco Systems pays no dividends but spent $5.04 billion on share repurchases last year. If Compco's equity cost of capital is 12.2%, and if the amount spent on repurchases is expected to grow by 8.2% per year, estimate Compco's market capitalization. If Compco has 6.8 billion shares outstanding, to what stock price does this correspond? Compco's market capitalization will be $ billion. (Round to two decimal places.) Compco's stock price will be $ (Round to the nearest cent.)
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