56.90% 3 points sume Gillette Corporation will pay an annual dividend of $0.65 one year from now (.e., dividend 1). Analysts expect this dividend to grow at 12% per year thereafter until third year. After then (le, starting in year 4), growth will level off at 2% per year forever. According to the dividend-discount model: What is the value of a share of Gillette Stock today (ie. Po if the firm's equity cost of capital.e, required return) is 8%? Suppose instead that you plan to hold the stock for four years. What is the value of a share of Gillette Stock today.ie, Pol it you plan to sell the stock in four years (ie. you sell the stock in year 4 immediately after it makes its fourth dividend payment)? For what price would you expect to be able to sell a share of Gillette stock in four years. just after divideod 4 is paid (ie. Pa)? 1 Drag n' Drop here or Browse