3. Calculate the expected stock price at the end of the final year of nonconstant growth. This is the Horizon Value and occurs at the horizon date; which is the end of Year 3. Use the Gordon model for this calculation. D.. I Then discount this stock price back 3 periods at the investor's required rate of return (r) to find its present value. PVN =Dp+1/(1+R)N = $ /(1.134)3 - $ /(1.134) = $