1. Given the financial highlights below, estimate the sustainable growth rate.
2. Calculate the expected stock price using the constant dividend growth rate model.
3. Calculate the expected stock price using the two-stage dividend growth model assuming the firm will initially grow at a rate g1 (sustainable growth rate calculated in section 1) for 4 years, and thereafter, it will grow at a rate (g2 =4%)forever.

Previous Close 235.77 1.823T Open 238.47 0.81 Market Cap Beta (5Y Monthly) PE Ratio (TTM) EPS (TTM) 241.45 x 800 36.03 Bid Ask 241.46 x 800 6.71 238.05 - 242.06 Day's Range 52 Week Range Earnings Date Forward Dividend & Yield Ex-Dividend Date Apr 26, 2021- May 02, 2021 2.24 (0.95%) 150.36 - 246.13 Volume 18,845,480 May 18, 2021 Avg. Volume 30,542,073 1 y Target Est 272.71 Financial Highlights Fiscal Year Fiscal Year Ends Most Recent Quarter (mra) Jun 29, 2020 Dec 30, 2020 33.47% 39.24% Profitability Profit Margin Operating Margin (ttm) Management Effectiveness Return on Assets (ttm) Return on Equity (ttm) 12.81% 42.7096