Question
Find the current stock value (P0) for a firm that is expected to have EXTRAORDINARY growth of 25% for 4 years, after which it will
Find the current stock value (P0) for a firm that is expected to have EXTRAORDINARY growth of 25% for 4 years, after which it will face more competition and slip into a CONSTANT-GROWTH RATE of 5%. Its required return is 14% and next year's dividend (Div1) is expected to be $5.00.
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Forecasting Methods And Applications
Authors: Spyros G. Makridakis, Steven C. Wheelwright, Rob J Hyndman
3rd Edition
0471532339, 9780471532330
