Assume Highline Company has just paid an annual dividend of $2. Analysts are predicting a 10% per year growth rate in earnings over the next three years. Afterthen, Highline's earnings are expected to grow at the current industry average of 4% per year. If Highline's equity cost of capital is 7% per year and its dividend payout ratio remains constant, for what price does the dividend-discount model predict Highline stock should sell?

The value of Highline's stock is $__?

Please include formulas and steps! Thank you :)