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MGM Resorts, a leading hospitality and entertainment company, just paid a dividend of $1.15 to shareholders. The company is expecting a dividend growth rate of
MGM Resorts, a leading hospitality and entertainment company, just paid a dividend of $1.15 to shareholders. The company is expecting a dividend growth rate of 7% over the next 8 years. After which, MGM Resorts expects to maintain a constant 3% growth rate in dividends forever. If the required rate of return on the stock is 5.5%, what is the stocks terminal value or future price? What is the current share price?
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