Colgate's dividend is expected to grow at 11% per year for five years and then at 5.2% per year indefinitely. We should employ a two-stage growth model. First, we value the constant growth in dividends five years from now and discount it to the present. Then we determine the value today of the five dividend payments growing at 11% from years 1 to 5. The value of the stock today is the sum of these two values. Colgate's dividend is expected to grow at 11% per year for five years and then at 5.2% per year indefinitely. We should employ a two-stage growth model. First, we value the constant growth in dividends five years from now and discount it to the present. Then we determine the value today of the five dividend payments growing at 11% from years 1 to 5. The value of the stock today is the sum of these two values