By using the Dividend Discount Model,

a.For 2020, Gajah paid a dividend of $0.14 per share. If the company expects to grow at a rate of 5% for the next 3 years, 4.5% the next 2 years and after that 3.25% for the long run, how much should an investor expect to pay for the stock?

b.If the current stock price of Gajah Technologies is $2.1232, would you recommend your investors to acquire the companys shares?

The report shows has a 10 year annual return of 7.65% and a standard deviation of 13.24%. Over the same period, the technologies Index closing figures are as follows:

Year	As at 31 December
2010	1,583.26
2011	1,495.55
2012	1,732.29
2013	2,194.47
2014	2,302.87
2015	2,282.84
2016	2,454.28
2017	3,004.04
2018	2,742.39
2019	3,501.21
2020	4,057.90