Question

For walmart

Calculate the company’s stock average return, standard deviation, and coefficient of variation for the period 2006. Use the closing price for the last day of trading for each year (December 31st) and annualized dividend. You may use finance.yahoo.com or marketwatch.com. If your stock has split, use the adjusted price. To obtain the annual divided, just simply add the quarterly dividends. Example below

Year	Actual Price or Adjusted Price	Dividend*	Capital Gain/loss (CG/L) (P2007 - P2006 )/ P2006	Dividend Yield (DY) Dividend**2007/ P2006	Total Return (%) CG/L + DY
2006 2007	20 25	$2 $2	-             - - (25-20)/20= .25=25%	2/2=.10 10%	. 25+.10=.35 =35%

Answer 1

Your capital gain yield is correct.

Dividend yield = Div 2007 / price 2006

                              = $2/$20

                              = 0.10

Total return = capital gain yield + dividend yield

                       = 0.25 + 0.10

                       = 0.35

Therefore, total return would be 35%.

​