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Harman Inc. plans to pay a dividend of $0.50 in one year, $0.75 in two years and $1.00 in three years. After that, analysts predict
Harman Inc. plans to pay a dividend of $0.50 in one year, $0.75 in two years and $1.00 in three years. After that, analysts predict a 4% growth rate in earnings per year forever. Comparable investments have a rate of return of 6%. If LC expects to keep its dividend payout ratio constant, which is closest to the price you should expect to pay for the stock today?
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