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5. IBM just paid a dividend of $1.60 per share. The current required return on equity for IBM is 12%. The current required return on

5. IBM just paid a dividend of $1.60 per share. The current required return on equity for IBM is 12%. The current required return on debt for IBM is 8%. IBM has a corporate tax rate of 35%. Dividends will grow at 14% for the next 2 years, and 10.2% thereafter. Please estimate the fundamental value of IBM (per share)?

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