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Consumers have more difficulty evaluating services than they do products; the difficulty results from the
Constant Rate
A constant rate refers to a fixed percentage that does not change over time, often used in contexts such as growth rates or interest rates.
Dividend Growth Model
A valuation method used to estimate the price of a stock by using predicted dividends and discounting them back to their present value.
Dividend Yield
This financial statistic demonstrates a company's dividend payments per year compared to its current stock price.
Capital Gains Yield
The price appreciation component of a stock's total return, excluding dividends, calculated as the change in price over a period divided by the initial price.
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