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A financial analyst following Fast Start Inc., a new high-growth company, estimates a 15 percent required return on Fast Starts stock. The current dividend per
A financial analyst following Fast Start Inc., a new high-growth company, estimates a 15 percent required return on Fast Starts stock. The current dividend per share is $1.00, and the companys dividend is expected to grow at a rate of 25% this year, 20% next year, and 15% the following year. After three years the dividend is expected to grow at a constant rate of 7% per year, forever. What is the current stock price?
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