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Constant growth and P/E ratio. Thermo Fisher Scientific (TMO) anticipates a return on new investments (ROE*) of 10%. EPS next year is projected at $8.60

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Constant growth and P/E ratio. Thermo Fisher Scientific (TMO) anticipates a return on new investments (ROE*) of 10\%. EPS next year is projected at $8.60 and the dividend payout rate is 25%. Compute the sustainable growth rate (g) for TMO. 4.b Compute the PV of 1 share of TMO if the required return is 12%

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