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Firm XYZ expects to earn $6 per share next year. In the next three years, the firms ROE is expected to be 12%, 15%, 18%,
Firm XYZ expects to earn $6 per share next year. In the next three years, the firms ROE is expected to be 12%, 15%, 18%, respectively, and its dividend payout ratio is 90%. After that, the firm's ROE is expected to increase to 25%, and the firm will set the dividend payout ratio = 60%. Assume that the discount rate is 20%. Find the stock price
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