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A company currently pays a dividend of $ 1 . 3 5 per share . It is estimated that the company s dividend will grow

A company currently pays a dividend of $1.35 per share . It is estimated that the companys dividend will grow at a rate of 25.0% per year for the next 3 years, and then at a constant rate of 3.8% thereafter. (So Year 4's dividend will have grown just 3.8% from Year 3's dividend.) The required return on the companys stock is believed to be about 9.7%. What is your estimate of the stocks current price based on good dividend valuation tools?

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