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Investors require a return of 16.1% per year to hold a stock. The stock's next dividend is expected to be $2.88 per share and the
Investors require a return of 16.1% per year to hold a stock. The stock's next dividend is expected to be $2.88 per share and the dividends are expected to grow forever at a constant rate. What is the stock's value per share expected to be in four years, if the stock's current value is $39.43 per share?
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To calculate the stocks value per share in four years we can use the Gordon Growth Model formu...
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Financial Management Theory and Practice
Authors: Eugene F. Brigham, Michael C. Ehrhardt
15th edition
130563229X, 978-1305632301, 1305632303, 978-0357685877, 978-1305886902, 1305886909, 978-1305632295
