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20. Your client holds a stock that currently trades at $80 per share with an EPS of $10, a payout ratio of 20% and an

20. Your client holds a stock that currently trades at $80 per share with an EPS of $10, a payout ratio of 20% and an expected growth rate of 6%. You estimate the required rate of return at 15%.

What is the value of the stock using the dividend growth model?

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