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Pharmecology just paid an annual dividend of $1.50 per share. Its a mature company, but future EPS and dividends are expected to grow with inflation,
Pharmecology just paid an annual dividend of $1.50 per share. Its a mature company, but future EPS and dividends are expected to grow with inflation, which is forecasted at 3.50% per year. The nominal cost of capital is 10.25%. a. What is Pharmecologys current stock price?
b. What would be Pharmecologys current stock price using forecasted real dividends and a real discount rate?
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