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A company currently pays a (Time 0) dividend of $1.75 per share. It is estimated that the companys dividend will grow at a rate of
A company currently pays a (Time 0) dividend of $1.75 per share. It is estimated that the companys dividend will grow at a rate of 22% per year for the next 2 years and then at a constant rate of 9% thereafter. The companys stock has a beta of 1.3, the risk-free rate is 8%, and the market risk premium is 4.5%. What is your estimate of the stocks current price? Blank 1
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