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Next year, BHH Co. is expected to pay a dividend of $2.81 per share from earnings of $5.25 per share. The equity cost of capital
Next year, BHH Co. is expected to pay a dividend of
$2.81
per share from earnings of
$5.25
per share. The equity cost of capital for BHH is
11.9%.
What should BHH's forward P/E ratio be if its dividend growth rate is expected to be
4%
for the foreseeable future?
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