Preferred stock valuation Fee Founders has perpetual preferred stock outstanding that sells for $50.00 a share and pays a dividend of $3.00 at the end of each year. What is the required rate of return? Round your answer to two decimal places. % and Thomas Brothers is expected to pay a $1.4 per share dividend at the end of the year (that is, D₁ = $1.4). The dividend is expected to grow at a constant rate of 5% a year. The required rate of return on the stock, r_s, is 11%. What is the stock's current value per share? Round your answer to two decimal places.