firat

smileygladhands Wrote:
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> D0 = .7
>
> Expected EPS Increase = -1
>
> Target Ratio = .35
>
> 1/5 years = .2
>
> -1 * .35 * .2 = (.07)
>
> .7 - .07 = $0.63
>
> Interesting twist - i believe my above formula
> works when income is increasing - when income is
> decreasing, would you reflect a reduction in the
> dividend?


I think the dividend will not change if earnings decrease, that is why this formula is so stupid.