Constant Growth Rate Calculator

Enter the annual dividends, required rate of return by investors, and the current price of a stock to calculate the constant growth rate.

Constant Growth Rate Formula

The following formula is used to calculate the required constant growth rate.

CR = [ (P*r) – D ] / (P + D)

  • Where CR is the constant growth rate %
  • P is the current price
  • r is the required return rate on dividends
  • D is the current annual dividends

FAQ

What is a constant growth rate?

The constant growth rate is a return rate on a stock that is required in order to hit a certain growth rate on the dividend.

constant growth rate calculator

Related Terms

constant growth rate calculator
constant growth rate formula
how to calculate constant growth rate
constant growth model formula
constant growth formula
constant growth model calculator
constant dividend growth model formula
constant growth calculator
constant growth stock calculator
constant dividend growth formula
constant dividend growth model calculator
constant growth stock formula
how to find constant growth rate
constant annual growth rate formula
constant growth dividend discount model formula
constant growth valuation calculator
constant growth dividend discount model calculator
dividend constant growth formula
constant growth stock valuation calculator
constant growth dividend calculator