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A firm has just paid a dividend of $1.66 per share. The dividend is expected to grow at an initial growth rate of 10.2% per
A firm has just paid a dividend of $1.66 per share. The dividend is expected to grow at an initial growth rate of 10.2% per year, but the growth rate will then decline linearly over 14 years to a constant long-term growth rate of 3.7% per year. The cost of equity is 7.1%. What is the value of each share?
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Fundamentals Of Corporate Finance
Authors: Jonathan Berk, Peter DeMarzo, Jarrad Harford
5th Edition
0135811600, 978-0135811603
