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Alpha Corp. just paid $4 in dividends per share. Dividends are expected to grow at 30% for the first 5 years and will continue growing
Alpha Corp. just paid $4 in dividends per share. Dividends are expected to grow at 30% for the first 5 years and will continue growing at a constant rate of 8% for years 6 and on. The risk-free rate is 3%, the return on the market 10 percent, and the beta of the stock is 1.2. Estimate Alphas intrinsic value.
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