Enter the annual dividend and the current stock price into the calculator to determine the cost of the preferred stock.
- Cost of Debt Calculator
- Discount Factor Calculator
- Reverse Stock Split Calculator
- Dilution Factor Calculator (Dilutant to Stock Ratio)
Cost of Preferred Stock Formula
The following equation is used to calculate the cost of a preferred stock.
CPS = DPS / PPS *100
- Where CPS is the cost of preferred stock (%)
- DPS is the dividends per share
- PPs is the current price per share ($)
Cost of Preferred Stock Definition
The cost of preferred stock is defined as the rate of return required by the holder of a company’s preferred stock.
Cost of Preferred Stock Example
How to calculate a cost of preferred stock?
- First, determine the dividends per share.
Calculate the dividends per share on an annual basis.
- Next, determine the current share price.
Calculate the current price per share.
- Finally, calculate the cost of preferred stock.
Calculate the percentage of return required on the preferred stock using the equation above.
A preferred stock is a type of stock holding of a company that has a priority claim over the company’s profits and net assets. That is the preferred stock is paid out first from profits
|cost of preferred stock calculator|
|cost of preferred stock formula|
|how to calculate the cost of preferred stock|
|cost of preferred stock|
|cost of preferred stock with flotation costs|
|the cost of preferred stock is|
|how to find cost of preferred stock|
|cost of preferred equity|
|wacc preferred stock|
|after tax cost of preferred stock|
|preferred stock dividends are tax deductible|
|preferred stock price calculator|
|component cost of preferred stock|
|cost of preferred stock wacc|
|the cost of preferred stock is equal to|
|cost of preferred shares|
|cost of preferred equity formula|
|the cost of preferred stock is equal to the dividend yield|
|preferred stock tax deductible|
|cost of preferred stock equation|
|cost of preferred stock adalah|
|cost of preferred shares formula|
|cost of capital preferred stock|
|cost of preferred stock formula with flotation costs|
|cost of preferred stock definition|
|cost of preferred stock with flotation costs calculator|
|how to find the cost of preferred stock|
|the cost of preferred stock is the ratio of the preferred stock dividend to a firm’s total earnings|
|how to calculate price of preferred stock|
|how to calculate cost of preferred stock with flotation cost|
|a firm has issued preferred stock at its 125|
|cost of preferred share|
|after tax cost of preferred stock calculator|