iconstant Dividend Growth Valuation A company currently pays a dividend of $3 per share (Do $3)....
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iconstant Dividend Growth Valuation A company currently pays a dividend of $3 per share (Do $3). It is estimated that the company's dividend will grow at a rate of 16% per year for the next 2 years, and then at a constant rate of 7% thereafter. The company's stock has a beta of 1.5, the risk-free rate is 9%, and the market risk premium is 5.5%. What is your estimate of the stock's current price? Do not round intermediate calculations. Round your answer to the nearest cent. 62.07 Hide Feedback Incorrect iconstant Dividend Growth Valuation A company currently pays a dividend of $3 per share (Do $3). It is estimated that the company's dividend will grow at a rate of 16% per year for the next 2 years, and then at a constant rate of 7% thereafter. The company's stock has a beta of 1.5, the risk-free rate is 9%, and the market risk premium is 5.5%. What is your estimate of the stock's current price? Do not round intermediate calculations. Round your answer to the nearest cent. 62.07 Hide Feedback Incorrect
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