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CAB Company currently pays a dividend of $1.85 per share, D 0 =1.85. It is estimated that the companys dividend will grow at a rate
CAB Company currently pays a dividend of $1.85 per share, D0=1.85. It is estimated that the companys dividend will grow at a rate of 25 percent per year for the next 2 years, then the dividend will grow at a constant rate of 9 percent thereafter. The market rate of return is 11 percent. What would you estimate is the stocks current price?
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