Free motion enterprises paid a $2.20 per share annual dividend last week. Dividends are expected to increase by 3.75 percent annually. What is one share of this stock worth to you today if your required rate of return is 15 percent? If Free Motion's stock is selling for $18 per share, what is your trading strategy on the stock?

A. Buy, the stock is currently undervalued.

B. Sell, the stock is currently undervalued.

C. Buy, the stock is currently overvalued.

D. Sell, the stock is currently overvalued.

E. Nothing, the stock is fairly priced.