financial management question.

Problem 1 - Stock Valuation. Sports Illustrated Books, Inc. has experienced an explosion in demand for its feathered football novelties. The company recently paid a dividend of $0.25 per share, and this dividend is expected to increase to 0.75 dollars per share one year from now. It's expected to grow at a rate of 15 per cent per year for the following 7 years. Susan, an investor beginner, seeks your advice regarding the present value of the share. Susan plans to purchase the shares today, if the price is right, and to hold it for three years. She believes that the share will increase in value to $30 at the end of the 4th year. What is the present value of this stock to Susan, if she requires a 20% rate of return on investments of such risk level? What's your recommendation to Susan