Assume Gillette Corporation will pay an annual dividend of $0.63 one year from now. Analysts expect this dividend to grow at 11.9% per year thereafter until the fifth year. Thereafter, growth will level off at 1.5% per year. According to the DDM, what is the value of a share of Gillette stock if the firm's equity cost of capital is 7.4%?

Assume Gillette Corporation will pay an annual dividend of $0.63 one year from now. Analysts expect this dividend to grow at 11.9% per year thereafter until the fifth year. Thereafter, growth will level off at 1.5% per year. According to the DDM, what is the value of a share of Gillette stock if the firm's equity cost of capital is 7.4% ? The value of Gillette's stock is \& (Round to the nearest cent.)