Dividend Yield Plus Growth Rate Method Definition | Becker
Accounting Dictionary
Dividend Yield Plus Growth Rate Method
The dividend yield plus growth rate method is a method to determine the cost of common stock or retained earnings as the expected (at the end of the year) yield on the common stock plus the expected growth rate in the dividends per share after that. Unfortunately, this method is sometimes called the discounted cash flow method. See also capital asset pricing model and bond yield plus risk premium method.
Related Terms:
Capital Asset Pricing Model (CAPM) [BAR]Bond Yield Plus Risk Premium Method [BAR]Back to Dictionary